KOCHI: The Kerala government has got the go-ahead from ( RBI) to launch a financial institution following the principles of Islamic finance.
A formal announcement on CFSL, the latest incarnation of Al Baraka Financial Services, is expected on Saturday. Counting on the state's traditional Gulf links, the previous government had hoped to raise Rs 40,000 crore.
The Shariah-compliant institution will desist from charging interest on loans or give interests on deposits.
It will target sectors like infrastructure, services and manufacturing sectors and keep offincluding liquor, tobacco and gambling or speculation.
Financingis one of its pilot programmes. There are also plans to set up a commercial complex in Kannur and operate seaplane services.
"We've received many concept papers. We will select a feasible few to start with," sources said.
(The Times Of India / 17 Aug 2013)
Alfalah Consulting - Kuala Lumpur: www.alfalahconsulting.com
Islamic Investment Malaysia: www.islamic-invest-malaysia.com