The Banking Executive Magazine - November 2024

The ‘International Development Bank - UAE Branch’ (IDB) has been officially added to the list of autho- rised banks by Dubai Land Depart- ment (DLD) following the signing of an agreement designating the bank as an escrow account trustee for real estate development projects within the emirate. The agreement was signed in the presence of His Excellency Eng. Mar- wan Ahmed Bin Ghalita, Director General of Dubai Land Department, and Dr Ziad Khalaf, Chairman of the Board Directors of the International Development Bank. His Excellency Bin Ghalita emphasised the signifi- cance of strategic partnerships be- tween the public and private sectors in advancing sustainable develop- ment in the real estate sector, in line with Dubai’s vision to foster a lead- ing and attractive investment envi- ronment. The agreement was signed by Mo- hammed Al Bidwawi, Acting CEO of the Real Estate Regulatory Agency (RERA) at DLD, and Hani Idris, CEO of the International Development Bank, following the bank’s full com- pliance with all legal requirements for managing real estate escrow ac- counts. The real estate escrow account is a designated account established for depositing funds received from buy- ers of off-plan properties or project financiers. It is designed to regulate construction and development processes while protecting investors’ rights. All real estate developers in Dubai must open escrow accounts to manage their real estate projects in compliance with regulatory stan- dards. Under the agreement, the Interna- tional Development Bank is required to open a separate escrow account for each real estate development project, exclusively allocated for the project’s implementation. This en- sures the transparent and organised management of financial resources in compliance with the regulations and procedures established by the escrow trustee and the Central Bank. In this regard, Mohammed Al Bid- wawi, Acting CEO of the Real Estate Regulatory Agency, said: “This step represents a continuation of DLD’s efforts to enhance transparency and safeguard investors’ rights. The real estate escrow account plays a pivotal role in regulating development processes and ensuring the rights of all stakeholders. We are committed to continuously strengthening our partnerships with financial institu- tions to improve customer experi- ence and streamline procedures, thereby enhancing the attractiveness of the emirate’s real estate market.” Dr Ziad Khalaf, Chairman of the Board of Directors for the Interna- tional Development Bank said: “We take great pride in our partnership with Dubai Land Department, which represents a significant milestone in the bank’s journey to support the vital real estate sector. At the Interna- tional Development Bank, we are committed to achieving the objec- tives of Dubai’s Economic Agenda D33 by providing innovative bank- ing solutions that connect Iraqi and UAE markets, facilitating investment flows, and strengthening economic cooperation. We greatly emphasise supporting strategic projects focused on digital transformation and sustain- able infrastructure. This aligns with our role in promoting foreign direct investment and supporting Dubai’s position as a global hub for trade and investment.” Through this agreement, Dubai Land Department reaffirms its commit- ment to regulating the progress of real estate projects while underscor- ing its dedication to fostering trust and transparency in the real estate sector. By implementing interna- tional best practices, DLD ensures the protection of investors and pro- motes sustainable development. ISSUE 190 NOVEMBER 2024 the BANKING EXECUTIVE 47 International Development Bank OFFICIALLY JOINS THE AUTHORISED BANKS BY DLD AS AN ESCROW ACCOUNT TRUSTEE