Islamic Development Bank Institute signs a Digital Postal Islamic Financial Services with UPU

By Steve UMIDHA

The Islamic Development Bank Institute (IsDBI) has formalised a partnership with the Universal Postal Union (UPU) on Digital Postal Islamic Financial Services.

Sami Al-Suwailem, Acting Director General of IsDBI, said the two entities would work together in developing innovative financial solutions that align with the needs of IsDB member countries (MCs).

It (the collaboration) will see the two leveraging Islamic finance principles to enhance postal financial services and developing operational models that can serve customers in both urban and rural areas.

The UPU is keen to explore Islamic finance as a complementary business model for postal financial services, acknowledging its potential to enhance financial inclusion, diversify income avenues for postal operators, and provide ethical financial solutions to underserved populations.

These aspirations align closely with the Digital Postal Islamic Financial Services Project, which aims to leverage postal networks and digital platforms to offer Shariah-compliant financial services, particularly in regions with limited access to traditional banking.

As a specialized agency of the United Nations, the Universal Postal Union (UPU) plays a key role in promoting international cooperation among postal operators and advancing the global postal sector in its 192 Member Countries.

The Islamic Development Bank Institute (IsDBI), the knowledge and innovation arm of the Islamic Development Bank (IsDB), is committed to developing and promoting Islamic financial solutions that contribute to sustainable economic development in its 57 Member Countries.