UAE based Dubai Islamic Bank (DIB) has joined Etisalat’s Blockchain Trade Connect (UTC) platform. The Blockchain enabled UTC platform is the first of its kind in UAE launched in April 2021. Etisalat and its tech partner Avanza Innovations as well as UAE banks created it.
UTC is a ‘cloud native’ solution running on Etisalat’s E1 Cloud, underpinned by distributed ledger technology and built around artificial intelligence capabilities. The platform prevents fraud and duplication, detects dubious transactions and supports multiple types of trade-related documents that must be inspected and validated for authenticity. Combined, its technologies ensure trust, transparency, and privacy between multiple organizations.
Commenting on the partnership, Dr. Adnan Chilwan, Group Chief Executive Officer at Dubai Islamic Bank, said: “Joining UAE Trade Connect as a member bank is an important milestone for Dubai Islamic Bank as we set out to mitigate the risk of fraud and safely move towards a fully digitized trade finance ecosystem. UAE banks work hand in hand to promote financial stability in the nation’s financial system and contribute to UAE’s robust economy. Hence, becoming part of UTC Digital Trade Platform is one of the major steps we have taken in achieving this milestone. The distributed ledger technology used to create UTC provides DIB and other UAE banks with a decentralized, immutable, and completely transparent way of organizing data that reduces the risk of fraudulent transactions.
“Until now, a centralised risk mitigation mechanism of this nature was non-existent systemically in the UAE banking sector. The benefits that UTC deliver will not only serve to protect DIB’s customers and the wider banking system but also enhance global trade. It is a milestone in the digitisation space that has the capacity to make trade financing more accessible, affordable and equitable. At DIB, we are focused on providing value-added transaction banking solutions and look forward to supporting our clients in the safest way possible.”
Salvador Anglada, CEO Etisalat Enterprise Digital further commented: “We are excited to have Dubai Islamic Bank, the largest Islamic bank in the country, partner with us, thus strengthening the UTC consortium. This reflects the banking sector’s commitment to accelerate the digital transformation process and prepare the UAE to enter into the new digital banking era. UTC is recognised as one of the most successful use cases for blockchain technology today, and a multi-award-winning platform that leads the way to digitise trade finance in one of the world’s most important trading hubs.”
Blockchain UTC platform in 2021 handled 2.7 billion USD of transactions. The first to get on board the UAE Trade Connect platform was UAE FAB bank in 2019.