Thursday, September 27, 2007

Standard Chartered and Land Department enters into Escrow deal

standard chartered bank dubai
Standard Chartered, the leading international bank in UAE has announced their entry into an Escrow Account Agreement with Dubai Land Department (DLD).

Through this agreement, Standard Chartered will be formally authorized as an approved bank for opening and managing Escrow accounts of property developers registered with DLD.

This makes Standard Chartered as one among the other few banks in UAE to provide both Islamic Banking Escrow Accounts and Conventional Accounts, thereby giving a wider choice for potential property investors.

The signing ceremony at the DLD office, involved the participation of Sultan Butti bin Mirjin, the Director General of DLD, Nigel Jones, the CEO of Standard Chartered-UAE, and Sultan al Suwaidi, Chief Advisor of Standard Chartered-UAE.

Mirjin said "The Dubai Land Department has adopted a practical approach for development of existing legislation in the real estate sector of the emirate to ensure the safety of investors and to boost their confidence levels in this sector."

The agreement is inline with the new Law Number 8 of 2007, which was issued by Shaikh Mohammad bin Rashid Al Maktoum, the Vice President and Prime Minister of UAE and Ruler of Dubai, and helps in safeguarding any party who goes on to sell a unit from a property development plan, before the actual completion of the project or during the construction phase. Such payments should be placed in an authorized Escrow agent accounts until the completion and delivery of the development.

Jones mentioned that recently Standard Chartered launched the first dedicated mortgage center in UAE in the Emaar Business Park, which revealed its commitment towards the property sector in UAE. This agreement further emphasizes the involvement of the Bank with the property sector, while highlighting the support that the Bank extends to the initiatives backed by government in UAE.

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