BANKING

ComBank begins Sharia compliant banking

To better serve important segment of customer base:

Commercial Bank of Ceylon is launching ‘Sharia compliant banking’ to better serve an important segment of its customer base that requires Sharia-compliant financial products based on Islamic principles.

The Bank has appointed three scholars in Islamic jurisprudence to its Sharia Board, to guide the operations of its new Islamic Banking Unit and to conduct periodic audits to ensure that all transactions conform to the parameters of the Sharia.

The three members of the All Ceylon Jamiyyathul Ulama who will serve on Commercial Bank’s first Sharia Board are Sheikh M M A Mubarak, Sheikh Fazil Farook and Sheikh M M Murshid.

“We are honoured that these respected scholars have consented to advise us on the launch of Islamic Banking and to supervise the unit’s operations,” Commercial Bank’s Managing Director Amitha Gooneratne said.

“As one of Sri Lanka’s largest private banks it is our obligation to ensure that the services the unit provides are fully compliant with the tenets of the Sharia.”

Commercial Bank’s Islamic Banking Unit would initially be located on the fourth floor of its headquarters building at Bristol Street, Colombo, but the products would be later be made accessible to customers visiting branches via the Bank’s sophisticated IT system, Corporate Banking Chief Manager B. A. H. S. Preena said.

At its commencement, the unit will offer deposit products such as ‘Mudaraba’ Savings Accounts and ‘Mudaraba Investment Accounts’ and asset products such as ‘Murabaha,’ ‘Musharaka,’ ‘Diminishing Musharaka,’ ‘Ijara’ Leasing and Import Financing.