29/12/2024
Share:
29/12/2024
Share:
KUWAIT CITY, Dec 29: The Real Estate Regulatory Agency (RERA), the regulatory arm of Dubai Land Department (DLD), has appointed Al Ahli Bank of Kuwait (ABK-UAE) as an escrow account trustee, making it the first Kuwaiti Gulf bank to offer this service to customers in the UAE.
This Real Estate Escrow Account service enables developers to collect amounts from buyers of real estate units sold off-plan or from project financiers to a designated and regulated escrow account with ABK. This mechanism safeguards the interest of all parties involved, fostering greater confidence and ensuring the underlying financial transactions are conducted securely and transparently, with the highest service standards.
This appointment underscores the confidence that the Bank has gained in the UAE through its excellent service quality, adherence to regulatory standards and continuous efforts to enhance its competitive edge and diversify its offerings to cater for all customer segments while maintaining the highest standards of quality and reliability.
The agreement was signed during an inaugural ceremony attended by key representatives, including Mohammed Al-Badwawi, Acting CEO of the Dubai Real Estate Regulatory Agency (RERA) at Dubai Land Department; Osamah Al Hamdani, Deputy CEO and General Manager of Wholesale Banking at ABK-UAE; and other key representatives.
On this occasion, Abdulla Al Sumait, Acting Group Chief Executive Officer at ABK, stated, "This new agreement underscores our unwavering commitment to strengthening our presence in the United Arab Emirates and delivering exceptional value to our customers by adhering to the highest service standards in the banking industry.
He further emphasized that ABK is fully prepared to establish additional partnerships with key stakeholders in the UAE to capitalize on the robust growth across various sectors, particularly the real estate market, which has experienced remarkable activity in the recent years.”
The new agreement reflects our ongoing commitment to enhancing our operations in the United Arab Emirates and providing added value to our customers while meeting their needs according to the highest service standards in the banking industry."
Al Sumait confirmed that ABK is fully prepared to sign more agreements with the responsible entities in the United Arab Emirates to benefit from the growth being witnessed in the Emirati market across various sectors, particularly in the real estate sector, which has seen significant activity in recent years.
Al-Badwawi said, “The Real Estate Escrow Account is one of the fundamental tools that safeguard investors’ rights and bolster confidence in Dubai’s real estate market. It ensures the financial transactions of off-plan projects are regulated by depositing funds collected from buyers or financiers into a dedicated bank account for each project. This guarantees that these funds are used solely for construction and development phases in accordance with approved legislation.”
He added, “Dubai Land Department remains committed to strengthening its partnerships with the private sector, recognising the essential role these collaborations play in supporting the sustainability and growth of the real estate sector. Our collaboration with ABK-UAE reflects our dedication to involving financial institutions in implementing initiatives that enhance transparency and elevate service quality. This partnership also translates our strategy to strengthen the real estate investment environment, supporting Dubai’s ambitions and aligning with the vision of our wise leadership.”
On his part, Al-Hamdani said, “The new agreement reflects the continued success of ABK in the UAE market, the exceptional capabilities of our team, and our dedication to introducing new products and services that meet the dynamic demands of the UAE banking industry while addressing the aspirations of both individual and corporate customers.”
Al Hamdani further highlighted that ABK-UAE’s appointment follows the Bank’s recent initiatives to enhance service quality, including the launch of mortgage loans for individuals and corporate services desk in the UAE. These steps position ABK-UAE as one of the few Real Estate Escrow agents, reaffirming its commitment to supporting the UAE’s rapidly growing real estate sector.
Al Hamdani continued that this appointment strengthens ABK-UAE’s role as a reliable and forward-thinking partner in the UAE banking sector, aligning with Dubai’s Vision 2030 for a transparent and investor-friendly environment.
