Global Trust Bank of Nigeria has said it is considering introducing 'Shari'ah banking' in Uganda, which will further enhance the Islamic finance options open to Ugandans only a few months after the country's Central Bank authorized Islamic banking.
Uganda's Islamic banking sector is attracting numerous foreign suitors with firms from Kenya, South Africa and Abu Dhabi all planning on setting up shop in the country. Global Trust may be using Uganda as a testing ground for its Shari'ah compliant products and services, as in its own country Nigeria, there are still a number of social and religious bars to the implementation of Islamic banking, despite the Nigerian Central Bank giving the green light for the sector and authorizing the first Islamic bank in June.
Global Trust Bank is 49% owned by Nigeria's largest insurance company - Industrial and General Insurance Company (IGI). The remaining 51% is owned by National Insurance Corporation (NIC) and a number of Ugandan individuals. The bank's MD, Charles Ajaegbu told The Islamic Globe: "The bank is going to carry out a survey of the Ugandan market to see whether Ugandans need and want Islamic banking products. We have already applied for authorization to roll out a range of Islamic banking products."
The Mufti of Uganda, Shabban Mubajje has called upon Ugandans to adopt an Islamic economic system saying it will help to mend the financial crisis currently affecting the economy.
© The Islamic Globe 2011
