Islamic Bank of Thailand to expand to Phuket

The Islamic Bank of Thailand is set to unveil a new branch in Phuket province on July 20th, 2007.

Mr. Korkiart Wongaree (ก่อเกียรติ วงศ์อารี), the Islamic Bank of Thailand branch manager, says Phuket is a lucrative investment province, and the Islamic Bank of Thailand has decided to opened its business in Phuket so people would have more financial choices. He says the Islamic Bank of Thailand provides financial and banking services under the Islamic principle, and thus, the bank differs from other general commercial banks.

25 percent of the population in Phuket is Muslims. This year, the tourism industry and the real estate business in the province are continually growing, and the Islamic Bank of Thailand would like to offer its services to the people there.

Source: Thai National News Bureau Public Relations Department - 17 July 2007

I don't see how it will attract tourists or expats. Sure, the no interest and no late payment rules will get the expats mouths watering, but islamic banking requires full collateralization of loans which will disappoint alot of expats when they find out the bank would own their condos.

The strict prohibitions on the investing in certain business (no non halal food ventures, no alcohol, no gambling of any sort) and the requirements for ethical investments are going to cut off a chunk of the open market, even if 25% of the population is muslim.

I don't think any of the other banks will be too worried.

Too bad they don't export their services though. Plenty of consumers in the west could do with a break from the high interest rates credit card companies and banks charge.

....open market, even if 25% of the population is muslim.

I don't think any of the other banks will be too worried.

Phuket muslims, have reputation for not being religious ( i can say 75% of them drink alcohol), islamic bank idea won't work much in thailand, may be in muslim countries only, i mean these banks can't expand their business here.

I met plenty of girls working in tourist business who didn't have veils, because they voluntarily or their job don't permit that...

hmm.. see the bank have a branch here also in Pattaya............... were is the world going ?! . . no normal person whant a islamic bank ! . I wish them all bad.

hmm.. see the bank have a branch here also in Pattaya............... were is the world going ?! . . no normal person whant a islamic bank ! . I wish them all bad.

stupid remarks of an uneducated person are most of the time quite amusing

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Too bad they don't export their services though. Plenty of consumers in the west could do with a break from the high interest rates credit card companies and banks charge.

I am 99% sure that islamic banks have opened in the west; and moreover that some western banks have established departments or subsidiaries offering islamic banking. For example in England; maybe even America and Europe.

I have no idea if they operate in the retail lending area however.

I don't see how it will attract tourists or expats. Sure, the no interest and no late payment rules will get the expats mouths watering...

Too bad they don't export their services though. Plenty of consumers in the west could do with a break from the high interest rates credit card companies and banks charge.

there seems to be a slight misunderstanding islamic banks do neither charge nor pay "interest" BUT they charge or pay identical percentages in "commission" and "profit shares".