UAE’s Abu Dhabi Islamic Bank (ADIB) has inked a memorandum of understanding (MoU) with Bahraini lender Al Baraka Banking Group for correspondent banking.
The aim is to offer customers access to a wider network.
Al Baraka president and CEO Adnan Ahmed Yousif said: “We now have an opportunity to navigate synergies and explore new corridors for growth using digital solutions.
“Al Baraka is a leading provider of Shari’a compliant products globally and this agreement with Abu Dhabi Islamic Bank would now set the platform for customer referrals between the ABG Group and ADIB, capitalising on our large geographic presence and wide client base.”
In addition to the UAE, ADIB currently has a footprint in Egypt, Saudi Arabia, the UK, Sudan, and Iraq.
On the other hand, Al Baraka has a presence in Jordan, Egypt, Tunis, Sudan, Turkey, South Africa, Algeria, Pakistan, Lebanon, Saudi Arabia, Syria, Morocco, Germany, Iraq, Indonesia, and Libya apart from Bahrain.
Through the partnership, ADIB will be able to gain access to the 17 countries where Al Baraka operates.
Powered by the alliance, ADIB clients will be able to manage accounts and make remote fund transfers to various markets through one digital platform.
ADIB group CEO Mazin Manna said: “Increasing the efficiency of our correspondent banking offering with technology while expanding our geographic network can bring major benefits to clients.
“Our business expansion strategy continues to show promise, and this agreement will enable us to support our customers who are looking for a single, ubiquitous channel to meet their cash management needs across different geographies.”