GIFA awarded Agrobank for upholding shariah principles

Global Islamic Finance Awards (GIFA) awarded agriculture-centred Malaysian-based Agrobank the 'Upcoming Islamic Bank 2015' accolade for upholding shariah-compliant banking and elevating Malaysia in its efforts to be established as a global Islamic financial hub.

"Agrobank is proud to be associated with Global Islamic Finance Awards that recognise global leading players in the Islamic finance industry," said Agrobank president and CEO, Datuk Wan Mohd Fadzmi Wan Othman.

He said Agrobank is strategically positioned to provide Islamic banking products and funding to complete the cycle of halal food production upon its transition to a full- fledged Islamic institution.

“Food is very synonymous with the agriculture, and halal factor is essential to Muslims.

"As of July 2015, Agrobank’s total market share in agro-food sector financing is quite promising with a total value of RM 2,674.42 million or 23.73 percent share of total outstanding loan worth RM11,270.52 million in the banking system,” he said.

Shariah-compliant financing is expected to boost confidence among entrepreneurs, food producers and clients who are committed to operate business in accordance with shariah principles.

Wan Mohd Fadzmi said upon hurdling the challenging journey towards being a full-fledged Islamic bank, “Agrobank takes pride of its efforts and hard work in contributing to strengthening the Islamic economy.”

“This is recognition for all our employees who have worked tirelessly in seeing through the conversion of Agrobank to be a full-fledged Islamic financial institution.

"We are also grateful for the strong support extended by Bank Negara Malaysia, Finance Ministry, Agriculture and Agro-based Industry Ministry our board members and stakeholders in realising our vision," he added.

Agrobank was officially operating as a full-fledged Islamic bank on July 1 this year after completely changing its operations, banking systems, processes, documentation and product development to be aligned with shariah principles.

GIFA honours banks, financial institutions, consultancies, rating agencies, insurance brokers and technology companies for their contributions and positive influence to the global Islamic banking and finance industry.

GIFA, organised by London-based Edbiz Consulting since 2011 in Manama, Kingdom of Bahrain, was attended by the Malaysian Ambassador to Bahrain, Datuk Ahmad Shahizan Abdul Samad.