Russia’s largest commercial bank will start operating in Abu Dhabi, UAE, under Sber Investment Middle East (SIME), by end of this year and will chiefly provide Islamic finance services, Zawya reports.
The move follows late September agreement with Abu Dhabi sovereign investor Mubadala Investment Company to “tap the potential of mutually beneficial opportunities”, the media said citing a top executive of the state-own financial institution.
The both entities agreed to cooperate in several areas including co-investments, debt and equity financing, long-term financing of Mubadala projects in Russia and other territories.
Sberbank has set up an Islamic finance department which will drive the bank’s main objective to target the Middle East investor within the framework of sharia investment principles. To date, the bank has structured seven Shariah-compliant deals totaling $300 million, Zawya notes. Present in 17 countries outside Russia, Sberbank boasts a customer market size valued at three million.
Sberbank, Russia’s largest bank to open shop in UAE before end of 2020
