Syariah bank to be set up

PADANG, West Sumatra: The Association of Indonesian National Consultants (Inkindo) is planning to set up a Syariah popular credit bank here in a bid to empower local farmers.

Head of Inkindo Zirma Zulnadi said the proposal was presented to Governor Zainal Bakar on Wednesday during a meeting with the association's executives, including Salahuddin Wahid, a younger brother of President Abdurrahman Wahid.

Zirma said the Syariah bank would cooperate with state-owned Bank Mandiri, two private banks, Bank Muamalat, IFI Bank and the Asia Development Bank.

Salahuddin has been named chairman of the project's steering committee, according to Zirma.

He said the Syariah bank was expected to recoup Rp 2.4 trillion of local funds which had been transferred out of the province. (28/lup)