Kuwait Finance House to set up Islamic funds unit in Turkey

Dubai: Kuwait Finance House (KFH), the country’s biggest Islamic lender, will set up a Sharia-compliant asset management unit under its Turkish bank branch, the lender said on Monday.

Kuwait Finance House Turk will establish five Sharia-compliant investment funds and offer other investment services under KT Portfoy, the new unit, KFH said in a bourse statement.

The establishment of the new firm is conditional on approval from Turkey’s capital market authority.

KFH’s chief executive in January said it would issue Islamic bonds to boost capital reserves at its subsidiary bank in Turkey, even as it looks to restructure its global assets.