The French BNP Paribas bank has signed a memorandum of understanding (MoU) with Kuwait Finance House (KFH) to establish an Islamic money market fund, reported the Gulf Daily News on Monday.
"The fund will invest in leasing assets and issue tradable certificates, thereby offering a short-term investment opportunity of prime quality, as the certificates will be given an AAA-credit rating by major rating agencies," said a BNP Paribas statement, cited by the paper.
"This achievement is an important milestone for KFH and its investment activities in that it underlines its leading and pioneering position among Islamic banks and highlights its global trends," said the statement.
The fund will be the largest of its kind in the region currently managed and operated in compliance with Sharia principles, added the statement.
The French bank bills itself as the largest listed banking group in France, and the first in terms of net income - Albawaba.com
