Dubai, United Arab Emirates, 13 December 2024: The ‘International Development Bank – UAE Branch’ (IDB) has been officially added to the list of authorised banks by Dubai Land Department (DLD) following the signing of an agreement designating the bank as an escrow account trustee for real estate development projects within the emirate.
The agreement was signed in the presence of His Excellency Eng. Marwan Ahmed Bin Ghalita, Director General of Dubai Land Department, and Dr Ziad Khalaf, Chairman of the Board Directors of the International Development Bank. His Excellency Bin Ghalita emphasised the significance of strategic partnerships between the public and private sectors in advancing sustainable development in the real estate sector, in line with Dubai’s vision to foster a leading and attractive investment environment.
The agreement was signed by Mohammed Al Bidwawi, Acting CEO of the Real Estate Regulatory Agency (RERA) at DLD, and Hani Idris, CEO of the International Development Bank, following the bank’s full compliance with all legal requirements for managing real estate escrow accounts.
The real estate escrow account is a designated account established for depositing funds received from buyers of off-plan properties or project financiers. It is designed to regulate construction and development processes while protecting investors’ rights. All real estate developers in Dubai must open escrow accounts to manage their real estate projects in compliance with regulatory standards.
Under the agreement, the International Development Bank is required to open a separate escrow account for each real estate development project, exclusively allocated for the project’s implementation. This ensures the transparent and organised management of financial resources in compliance with the regulations and procedures established by the escrow trustee and the Central Bank.
In this regard, Mohammed Al Bidwawi, Acting CEO of the Real Estate Regulatory Agency, said: “This step represents a continuation of DLD’s efforts to enhance transparency and safeguard investors’ rights. The real estate escrow account plays a pivotal role in regulating development processes and ensuring the rights of all stakeholders. We are committed to continuously strengthening our partnerships with financial institutions to improve customer experience and streamline procedures, thereby enhancing the attractiveness of the emirate’s real estate market.”
Dr Ziad Khalaf, Chairman of the Board of Directors for the International Development Bank said: “We take great pride in our partnership with Dubai Land Department, which represents a significant milestone in the bank’s journey to support the vital real estate sector. At the International Development Bank, we are committed to achieving the objectives of Dubai’s Economic Agenda D33 by providing innovative banking solutions that connect Iraqi and UAE markets, facilitating investment flows, and strengthening economic cooperation. We greatly emphasise supporting strategic projects focused on digital transformation and sustainable infrastructure. This aligns with our role in promoting foreign direct investment and supporting Dubai’s position as a global hub for trade and investment.”
Through this agreement, Dubai Land Department reaffirms its commitment to regulating the progress of real estate projects while underscoring its dedication to fostering trust and transparency in the real estate sector. By implementing international best practices, DLD ensures the protection of investors and promotes sustainable development.