A new stage in Islamic financing in Russia!

In Russia within the framework of the experiment on Partnership (Islamic) financing the first interregional transaction on the “Digital Mudarabah” product was implemented on the STATUS-INVEST investment platform. The “interbank” capital market for the participants of the experiment was launched.  

On October 11, 2024 the first interregional transaction on the “Digital Mudarabah” product took place on the STATUS-INVEST investment platform in Moscow.  

At the same time, the transaction was of interregional nature - companies from two regions of the Russian Federation, where the experiment on partnership financing is being conducted (the Chechen Republic and the Republic of Tatarstan), took part in it as investors and recipients of investments.  

As the Director General of AO STATUS (included by the Bank of Russia in the register of operators of investment platforms) Ludmila Mironova noted: “Due to possibilities and mechanisms of STATUS-INVEST investment platform, the participants and the organizer of the transaction plan to intensify filling the market of partnership (Islamic) financing in our country with liquidity.  

The products presented on STATUS-INVEST platform within the framework of partnership financing are focused on institutional investors - funds, banks, investment companies, which work in the Russian legal system and are located in the territory of the experiment”.  

The Islamic financial product “Mudarabah” is a financing agreement under which the investor provides the borrower with the funding amount and receives as income a share of the profit generated by the project, which the borrower implements at the expense of the raised funds.  

The experiment in partnership (Islamic) financing initiated the formation of an “interbank” capital market.  

The platform's investor clients might be all interested parties, both those who share the principles of partnership financing and those who are just getting acquainted with the new for the Russian market product. Recipients of financing for projects requiring investments might be Russian companies operating in the territory of the Russian Federation whose activities comply with Shariah norms.  

It is important to emphasise that this transaction lays the foundation and creates prerequisites for expanding opportunities to attract investment into Russia. 

Photo: RIA