Al Salam Bank Introduces New Sharia-Compliant Liquidity Tool

Al Salam Bank, Bahrain’s largest domestic bank, has become the first bank globally to implement J.P. Morgan Payments’ Overnight Murabaha solution.

The system allows banks to earn Murabaha-based overnight returns on balances held in nostro accounts with J.P. Morgan Payments. It is designed to improve short-term liquidity management while maintaining a Sharia-compliant financial structure.

The implementation expands the use of Islamic-finance solutions within international banking and treasury operations.

Why it matters: The development highlights Bahrain’s role in Islamic finance and shows how global banking infrastructure is being adapted to meet demand for Sharia-compliant financial products.

Source : GCC Sources.