DEPOSIT PRODUCTS OFFERED BY UBL-AMEEN

Presented By:Faisal Masood Sheikh – RM Corporate Muhammad Sharjeel Memon – RM Corporate

و�ا ب� ر� ٱل ب ب�� ب� ب ب� ي� ب� يل ٱ ه� �� ب ٱل ب�� ب� ب�ا ب .‌ �. Surah Baqarah (2:285)

Allah has permitted Trade and Prohibited RIBA

“Every loan that draws any premium is Riba”.

Hadith is reported by Hazrat Harith ibn Abi Usamah in his Musnad

Riba & Its Prohibition

Business Model of a Conventional Bank

Creditor (Depositor)

Individuals Corporate FI’s SME’s Public Sector

Funds Lent

Debtor PLS Saving Account Term DepositEquity

Mode of Credit

InterestInterest

ConventionalBank

Interest based pool managed by bank

Withdrawal

Business Model of a Islamic Bank

Investment Account Holders (Depositors)

Individuals Corporate FI’s SME’s Public Sector

Income Profit Rent Dividend

Islamic Banking Business (Shariah

Compliant)

Murabaha

Ijarah

D. Musharakah

Sukuk

PLS Saving Account

COII

Equity

Profit

Mode of Deposit & Funding

Islamic Banking Institution

Mudaraba (Shariah compliant) pool managed by bank

Withdrawal

Shariah Controls of an Islamic Banking Institution

Shariah Advisors are high ranking Islamic scholars with broad knowledge & experience in various disciplinary fields, from law, economics, banking systems and Sharia law

The Shariah Advisors guide the development of banking products and services, certifies them and assists compliance with Islamic Sharia

The Shariah auditors ensure that all the transactions are carried out in strict compliance to Islamic principles of banking

Ameen Shariah Panel The products of UBL Ameen are Shariah compliant, and

monitored through our panel of Shariah Advisors to ensure that our products are widely acceptable

UBL Ameen has acquired advisory/consultancy services from prominent Shariah Scholars: DR. NOOR AHMED SHAHTAZ as Shariah Advisor. He has over 13 years

of experience in FATAWA and holds to his credit LLB and PhD degree in Islamic Studies

MUFTI HASSAN KALEEM as member of our Shariah Advisory panel. His

expertise in the Islamic banking and finance industry is exceptional

Presentation Outline

UBL & Islamic banking in UBL

Deposit products

Salient features

Funds deployment & distribution

Wrap-up

Q/A

Interesting Facts About UBL & Islamic Banking In UBL

United Bank Limited is one of the largest commercial bank in Pakistan, established in 1959 and a group company of Abu Dhabi Group and Best Way Group UBL has an asset base of over PKR 550 billion (Figures till Oct-

2008) UBL has a network of over 1000 branches across Pakistan and has a presence in several overseas locations including U.A.E, Oman, UK & Switzerland UBL enjoys a credit rating of AA+ and A-1+ for both long term and short term periods UBL has been awarded Islamic Banking license by the State Bank of Pakistan on December 16, 2006

The brand name for Islamic Banking is “Ameen” UBL Ameen has its presence in all major cities of Pakistan

including Karachi, Lahore, Faisalabad, Sialkot and Peshawar through 5 stand alone branches

UBL Ameen has also 20 Islamic banking windows in the existing UBL branches

By the end of year 2009 Ameen has projected to open 15 further windows in existing UBL branches across Pakistan

Interesting Facts About UBL & Islamic Banking In UBL cont’d

Deposit Products Of UBL Ameen Ameen Current Account (PKR & FCY)

Based on QARZ Funds received, to be repaid on the demand/notice of the depositor

Ameen Investment AccountsBased on Mudarabah A partnership where one partner provides capital (called Rabb-ul-maal) and another contributes efforts (called Mudarib)

Ameen Saving Account Investment accounts that have freedom of withdrawal and deposit in

which profit can be received upon periodically

Ameen Certificate of Islamic InvestmentTerm investment in which higher amount of profit can be received

upon maturity /periodically

Ameen Current Account (PKR & FCY)

First cheque book free

No Minimum balance

Withdrawal on demand at anytime PKR 100 Million and above 24 hours notice (working days) PKR 200 Million and above 48 hours notice (working days)

Collection and clearance of cheques

No hidden charges

Ameen Saving & Certificate of Islamic Investment

Ameen Certificate of Islamic Investment is taken under the Shariah compliant terms of Mudarabah

Investor’s funds are pooled together with other depositors and are invested into Shariah Compliant profitable portfolios

Ameen manages your pooled funds and shares the profit as Mudarib. In case of loss Ameen get nothing and bear the loss of cost spent on managing the pool

Salient Features of Deposit Products

Name Of Product / Service Ameen current Account

Ameen Savings Account

Ameen Certificate of Islamic Investment

Underlying Islamic Modes Qarz Mudarabah Mudarabah

Acceptable Currency Pak Rupees, FYC Pak Rupees Pak Rupees

Minimum Balance Requirement

Rs. 0 Rs. 0 Rs. 10,000/=

Tenors (Minimum & Maximum)

Not Applicable Not Applicable 1 Month to 8 Years

Profit Calculation Frequency Not Applicable Monthly AVG Bal

Monthly

Periodicity of Profit distribution

Not Applicable Semi Annually Maturity / Semi Annually

Name Of Product / Service Ameen FCY Account

Underlying Islamic Modes Qarz

Acceptable Currency USD, Euro and Pound Sterling

Type of Product Current Deposit

Minimum Balance Requirement USD 500 or equivalent

Target Customer Individuals(Single or Joint), Sole Proprietorships & Corporate

Service charges, if any Cheque Book, Stop Payment, account Statement, Cheque return

Salient Features of Deposit Products

At present Islamic banking has a market share of over 4% of total banking sector of Pakistan

Demand for Islamic banking products is increasing in all sectors consist of Individuals, SMEs & Corporate customer alike

SBP is playing a vital role in regulating and monitoring Islamic compliances

Islamic banking is adopted on a global scale by Muslims and non Muslims

Islamic current accounts in England are becoming more popular with non-Muslims because of growing concern about where their deposits are invested*

On global scale five cities include Kuala Lumpur, Dubai, London, Singapore & Hong Kong are trying to become hub of Islamic banking

Wrapping Up

:."Verily Allah will never change the condition of a people until they change themselves." :.(Surah ar-Ra'd

Chapter 13, verse 11)

"Non-Muslims snap up Islamic accounts", BBC News, December 18, 2006

Thank you for giving us an opportunity to provide you an

overview of Islamic banking deposit products

offered by UBL Ameen