ADDIS ABABA – ZAD Bank, another private and Islamic bank in the making, is set to join the Ethiopian finance sector within six months, its officials announced on Thursday.
The interest-free bank will start to sell public shares as of Saturday throughout the country, Munir Hussein ZAD project director, told reporters on Thursday afternoon.
ZAD, now, is the third project with a scheduled plan to join the finance sector as Islamic bank, following Zem Zem and Hijra. Both of them have started to sell shares to the public in the past few weeks.
Munir said there is untapped huge potential in the finance sector in Ethiopia and sure that share will be sold in a short period.
ZAD Bank plans to start its first branch in January 2020. Its founders say the bank will be set up with a registered capital of 1 billion Birr (35 million USD).
Most of the founders are Economic advisers and experts in investment and Islamic sharia laws, according to Munier.
In May this year, Ethiopian Prime Minister announced his government’s active support to the establishment of Islamic banking.
This pledge has given a huge encouragement for Muslims to have their own bank ruled under Sharia law, said Munir. ZAD Bank, in its first year of operation, will create at least 400 jobs, and its officials are currently working on having its own banking professionals training center.
By Sisay Sahlu