MENA Newswire: In a landmark financial agreement, Dubai-based Bandenia Challenger Finance, a subsidiary of the Europe-based BCB, signed a Memorandum of Understanding (MOU) with Arab Bank (AB) of Bangladesh on October 6, 2022. The MOU is significant as it opens up international trade and business potential for Bangladesh’s business community and Non-Resident Bangladesh (NRB) expatriates.
The MOU, signed in Dubai between the two parties on October 6, came into effect immediately. It will enable Bandenia Challenger Finance to offer a bouquet of banking and finance facilities to Non-Resident Bangladeshis (NRB) in Europe and the MENA region. The MOU is significant as it is the first time AB Bank Bangladesh has opened up commercial and private banking opportunities internationally for NRBs.
It will permit Bandenia Challenger Finance to arrange trade finance facilities, overdrafts, Letters of Credit, mortgages, and real estate advisory services. This will provide an excellent return on investment and asset management for NRBs. It will provide an excellent opportunity for NRBs to trade in Dirham instead of Dollar currency.
Commenting on the event, Imran Qureshi, the Managing Director of Bandenia Challenger Finance, said, “Our organization will be the bridge between AB Bank and international Bangladeshi expatriates, allowing them to initiate their trading facilities for Europe and the Middle East using Dirham as the currency. This will accelerate the potential of trade facilities, and we are expecting business volumes over Dh 500 million.”
Tarique Afzal, President and Managing Director of AB Bank, appreciated the signing of the MOU between his organization and Bandenia Challenger Finance. He called it a unique agreement that would encourage international trade within the parameters of international best practices. Afzal said the MOU would not only allow Non-Resident Bangladesh expatriates but also indigenous citizens to initiate cross-border trade in Europe and the Middle East.
“This MOU will help us grow our trade both for import and export within Bangladesh and for those residing outside in the Middle East and Europe. It gives us the confidence to deal with various banks across different geographies on the globe. These banks will provide Letters of Credit and encourage international trade with Bangladesh.” He further said that the agreement provided secondary support to the bank and assured enhanced business opportunities.
In addition, Afzal noted that the MOU would enable their bank to identify all business opportunities, partnering with multiple counterparts and helping them grow. “The MOU represents the cross-border trust that will help us grow future business. Currently, currency inflation is everywhere, and this MOU will help us subside matters in different economies,” said Afzal.