AlHuda CIBE and Tawhid Bank signed an agreement to set up first Shariah Based Insurance (Takaful) company in Tajikistan

AlHuda CIBE UAE and Tawhid Bank Tajikistan signed an agreement to set-up the first Takaful Company in Tajikistan. It is the first Shariah legitimate solution to Tajikistan's insurance industry. The MoU signing ceremony was held Dubai - UAE.

On this occasion Mr. Muhammad Zubair Mughal CEO of AlHuda CIBE said the entrance of Takaful concept to Tajikistan insurance industry will play a vital role for financial inclusion and also it will fulfill the gap of the missing components of Islamic finance industry. He also highlighted the fact that Tajikistan Islamic finance industry has only one fully fledged Islamic Bank. A couple of banks and Microfinance institutions have Islamic finance window operations but none of the Takaful Company exists. He also added that setting up a Takaful company will not only give a boost to Islamic finance industry but it will also provide a solution for those individuals who do not use insurance because of religious perspectives.

The CEO of Tawhid Bank Mr. Zardov Sher Ali said that Takaful Company is a new addition to Tajikistan Islamic finance industry and it will play a very important role for enhancing the growth and development of Islamic Insurance industry. Tajikistan is a small landlocked country in the heart of Central Asia. It has around 96.7% Muslim population. To meet the financial needs in line of religious boundaries after Tawhid bank, setting-up Takaful Company is another solution to support Islamic finance industry growth in Tajikistan.