Nigeria: Jaiz Bank Plans To Raise NGN10.5 Billion By Share Issue

Jaiz International Bank, which would be the first non-interest bank in Nigeria, commenced its private placement scheme and public offer of NGN10.5 billion (US$8 billion). The proposed bank's Chairman, Alhaji Umaru Abdul Mutallab said the concept of the bank does not have any religious undertone, as it is purely business. Mutallab, who expressed optimism about the bank's prospects, explained that its operation is a new mode of financing, which is being used in most of the western countries. Mutallab said that Jaiz Bank is a new concept in Nigeria whose promoter has an alliance with the Islamic Development Bank in Jedda, Saudi Arabia, and African Development Bank. The remaining NGN12 billion would be raised in the next phase of capital raising to make up the stipulated NGN25 billion capital base. The bank has already raised NGN2.5 billion in the first phase of its capital raising process during its initial public offering in 2003.