Path Solutions, which provides Sharia-based technologies for Islamic financial services, announced on August 14 it has signed a strategic agreement with Attijariwafa Bank to provide the bank’s clients with interest-free financial services in accordance with Islamic principles.
“Under the terms of the agreement, Path Solutions will provide and implement its interest-free core banking platform iMAL across the 31 branches of Attijariwafa Bank participative subsidiary Bank Assafa, including Sharia-compliant financing, delivery channels and trade finance.”
“We are delighted to have been chosen by Attijariwafa Bank, the third largest bank in Africa. Bank Assafa is a significant win for Path Solutions; we welcome it to our community of strategic partners,” said Mohammed Kateeb, group chairman and CEO of Path Solutions.
According to Path Solutions’ statement, iMAL is a new core banking platform which is “set to deliver competitive edge to Bank Assafa and bring real benefits to the bank’s customers.”
The Islamic banking platform covers Sharia-compliant investment, project finance, financial messaging, and financial reporting.
Speaking about the bank’s implementation of iMAL, Kateeb said that it “will facilitate Bank Assafa’s entire operations, allowing it to serve its customers with true Sharia-based state-of-the-art core banking platform to launch a wide range of innovative products to advance financial inclusion and attract the majority of the population that are currently unbanked.”
Youssef Baghdadi, chairman of Bank Assafa’s management board, said that Attijariwafa Bank chose Path Solutions for the bank’s new Sharia-compliant banking system “following good references from several leading Islamic banks.”
According to Abdellatif Jouahri, the governor of Morocco’s central bank—Bank Al Maghrib (BAM), more than 71 “participating” agencies have been created in Morocco since the launch of Islamic participating banks, which follow Islamic principles of interest-free banking, in July 2017. The participating banks have granted a total of MAD 1.1 billion in loans.
In January 2017, BAM gave their approval to many Moroccan bank groups to launch participating subsidiaries, including Attijariwafa Bank and its new participative subsidiary Bank Assafa.