KAZAKHSTAN: Development Bank of Kazakhstan’s DBK-Leasing subsidiary has completed its first rolling stock transaction meeting Islamic Ijara leasing requirements.

The 1·1bn tenge deal covers the provision of 113 LPG tank wagons for use by Eastcomtrans for 10 years, with defined payments and the lessor responsible for insurance and maintenance.

‘This transaction is very important for the financial sector of Kazakhstan as it increases opportunities to attract foreign investment to the economy’, said DBK Deputy Chairman Elena Kogay. ‘In order for Islamic financing to develop in our country, it is necessary to use these tools in active financial operations. In this regard, I want to emphasise that for the first time in Kazakhstan a leasing company has financed the project under Ijara conditions. We plan to develop this product in our subsidiary company DBK-Leasing, as Ijara by its nature is similar to financial leasing.’