ADDIS ABABA – Software giant Path Solutions said it has signed an agreement with Hijra Bank, the second fully-fledged interest-free bank in Ethiopia, for the implementation of its AAOIFI-certified core banking platform.
Hijra Bank will be providing interest-free financial services – a strategy to capture the growing market share of the tech savvy devout customers wishing to comply with the principles of Islamic law, as well as those who prefer ethical and socially responsible banking services.
“We are excited to collaborate with Hijra Bank and to support them in realizing their vision of bringing Islamic finance to Ethiopia through advanced technology and great customer experience,” said Mohammed Kateeb, Path Solutions’ Group Chairman & CEO.
According to the tech firm, Hijra Bank will have the advantage of capitalizing on the latest version of iMAL from Path Solutions and reap the benefits of the robust growth opportunities of digital banking since more customers in the country are becoming literate of the digital services.
The bank also believes it is now the perfect timing for their incorporation to gain a foothold in an ever-growing financial market space by meeting the demands of its customers as part of its vision to be a top interest-free bank in Ethiopia.
“Path Solutions understands the vital role of IT in our business to bring value, ensure convenience, functional and service quality and improve profitability,” said Dawit Kenno, the newly appointed acting CEO of Hijra Bank.
“The company’s Islamic banking domain know-how and extensive international experience will allow our bank to launch unique interest-free banking products for the best market fit along with an outstanding customer experience,” he added.
Ethiopia saw its second Islamic bank this year, boosting its financial inclusion plans.