09 May 2017

 Botswana Life insurance company has launched two investment services called Isago discretionary savings product and Tapologo retirement annuity product which conform to requirements of the Islam law of Shariah.
According to the company’s head of affluent segments, Ms Colleta Simbanegavi, the Isago product offers long term investment with a minimum period of 10 years and no maximum time.
Speaking during the two products launch in Gaborone on Monday, Ms Simbanegavi further stated that the Isago product had no age restrictions for people using it.

Regarding the Tapologo retirement product, which is more or less like pension savings, she said those using it would be allowed access to their money after reaching the age of 55.
Mr Mufti Ismail Desai, chief executive of Global Islam Financial Services (GIFS), explained that Shariah compliant products were investments which conformed to the Law of Islam (Shariah), which amongst others prohibited uncertain and excessively risky transactions, as well as investment in goods and services such as alcohol, gambling, adult entertainment and pork.
“The Islamic financial system focuses on the real economy, on creating a dynamic and sustainable economic system.

It is our religious obligation to ensure that our financial dealings are Shariah compliant,” said the GIFS chief, also pointing that Shariah compliant investment products were worth an estimated USD 500 billion on the global market.
He further explained that a Shariah board made of scholars would be tasked with insuring compliance of the two investments by reviewing all transaction processes and documentation of the two products on ongoing basis.
Botswana Life Insurance Limited chief executive Ms Bilkiss Moorad said it was the first time Shariah compliant investment products were being launched in Botswana.
“We at Botswana Life believe that the need for Shariah compliant investments is growing rapidly in the world.

This comes from the conclusion that currently Muslims are a quarter of the world’s population and still growing,” said Ms Moorad.
“We at Botswana Life understand that religion and culture play a fundamental role in the lives of the Muslim community.
This explains why we took a bold move to empower them through broadening access to Shariah compliant investment products,” she added. ENDS