International Bank of Azerbaijan to raise US$150 million via Islamic syndicated financing in 2013 (By IFN)

International Bank of Azerbaijan to raise US$150 million via Islamic syndicated financing in 2013

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AZERBAIJAN: The International Bank of Azerbaijan (IBA) is keen to strengthen its hold as not only the country’s biggest lender, but also as the leading local provider of Islamic finance. The bank is looking to raise US$150 million via an Islamic syndicated financing facility early next year; as it targets to the double its Islamic asset from US$60 million to US$120 million by the end of 2013, according to Behnam Gurbanzada, its head of Islamic banking. It is currently discussing the syndicated financing plan with several GCC banks; and expects to complete the deal in April next year after awarding the mandate for the deal in January. Its Islamic banking growth plans also sees the bank targeting US$500 million in Shariah compliant assets in 2015, with help from its subsidiaries, said Behnam in a Reuters interview. In an interview with Islamic Finance news in August this year, Behnam said that IBA has submitted an application to Qatari authorities for a subsidiary in the country, while it also has a unit in Russia and a presence in the UAE. “We are planning the establishment of a common chain of IBA subsidiaries and representative offices. If we are successful then we can set up an Islamic investment and development bank of CIS countries,” he said.