Al Rajhi bank set to diversify its funding services

Saudi Arabia’s Al Rajhi bank— one of the largest Islamic banks in the world—is looking to diversify its funding and financial services, particularly within the real estate market, said Akef Sheikh, assistant business manager of retail banking.  
 

The bank is aiming to create new strategies in order to compete with other Islamic banks in the burgeoning industry, Sheikh said. 

Saudi Arabia’s real estate sector is not as diverse as the United Arab Emirates, he was quoted as saying in an interview with CNN Arabic. However, the kingdom’s real estate market is starting to boom. 

He said that banks are considering expanding their services and financing methods for the real estate sector through Murabaha loans and capital leases.

Al Rajhi is also hoping to expand its services abroad. 

The bank would like to provide services to Saudis living in Kuwait, for example, who are looking to buy housing or properties in their home country, Sheikh added.