The Bahrain-based Islamic fintech provider Islamic Finance Initiation Network (IFIN), has launched the first-of-its-kind, real economy, automated Islamic financing platform.
The secure and innovative technology connects retailers and Islamic finance providers, enabling them to offer consumers instant access to Islamic financing for purchases, at the point of sale.
IFIN’s cloud-based platform reduces the traditional Islamic financing process from several days to just a few minutes, and is set to revolutionise the in-store shopping experience. IFIN’s platform eliminates the need for customers to visit their bank branch in order to secure finance, allowing them to do so as soon as they have made their purchasing decision in the store.
IFIN platform provides retailers with the opportunity to boost their sales and increase customer loyalty by enhancing the payment options for their customers. The platform serves a wide range of goods and service providers, including car dealerships, furniture showrooms, electronics stores, travel agents, healthcare providers, private schools, and academic institutions.
Similarly, IFIN’s cutting-edge, secure, and fully automated platform enables Islamic financial institutions to substantially expand their distribution network to thousands of retailers, and extend their operations beyond the traditional branch model, outside the usual banking working hours and days, thus allowing them to continue booking new financing – even on weekends and banking holidays – with utmost simplicity and without any major investment.
Research undertaken in the Sultanate of Oman and the Kingdom of Saudi Arabia, by independent research company, Nielsen on behalf of IFIN, reveals a substantial market opportunity for both financial institutions and retailers. According to the research findings, almost 90% of consumers in both countries are either ‘interested’ or ‘very interested’ in the IFIN offering.
IFIN is a joint venture between two Islamic finance pioneers – Path Solutions, the world’s leading provider of Islamic finance technology, and IFAAS (Islamic Finance Advisory & Assurance Services), a leading international advisory firm dedicated to Islamic finance.
“We are very proud to bring the first-of-its-kind FinTech solution to the Islamic financial services industry. The end-to-end digitalisation of the financing process allows Islamic financial institutions to significantly reduce their costs, enhance their profitability and expand their outreach to be where their customers are, without laying another brick,” comments IFIN founder and CEO Dr. Shaher Abbas. “On the other hand, with the whole financing process taking only 10 minutes to be completed, retailers can boost their sales, expand their product offering and provide their customers with the unique shopping and financing experience that IFIN brings. IFIN plans to expand in 20 countries over the next 5 years to capture a market potentially worth over $600 billion”.
Mohammed Kateeb, Chairman and CEO of Path Solutions added, “We are delighted that, by using our cumulative knowledge in Islamic finance technology and through our collaboration with IFAAS, we have developed an industry-leading solution that will deliver real impact to Islamic financial institutions, retailers, and customers. We have known and understood the industry challenges very thoroughly and developed a practical solution not only to meet those challenges but also to help take the industry to the next level”.
Farrukh Raza, IFAAS Group CEO, also commented on the launch saying, “Our experience and insight of the industry has enabled us to develop a much-needed FinTech with Path Solutions to lay down the foundation of a digital Islamic finance industry that serves the real economy and supports the development of communities”.