Saudi’s ICD signs agreement for blockchain-based tools in Islamic banks

The Islamic Corporation for the Development of the Private Sector (ICD) signed an agreement with Tunis-based I-FinTech Solutions to develop several blockchain-based financial tools, Reuters reported, citing a statement from the multilateral body.

The first product will be a commodity-based interbank market that would help conventional and Islamic banks to transact with each other, according to the private sector arm of the Islamic Development Bank Group.

“Using blockchain for asset and liability management of Islamic banks would help them reduce costs, execution time and address issues related to transparency and traceability of transactions,” the statement said.