Orix Acquires Islamic Finance, Leasing Firms in Pakistan

Tokyo, July 13 (Jiji Press)--Orix Corp. <8591> said Wednesday that it has acquired an Islamic finance company and a leasing company in Pakistan through a local unit for a total of one billion yen. The two companies are Standard Chartered Services of Pakistan (Private) Ltd. and Standard Chartered Leasing Ltd. Orix will be the first Japanese company to embark on the Modaraba business based on Islamic law. Islamic finance forbids businesses that go against the tenets of Islam as well as interest rates. The Islamic finance market is expanding thanks to the economic growth of Islamic states. Orix plans to expand its Modaraba business in Asia and the Middle East in the future. Modaraba is a form of financial instrument managed by an asset management company, and the profits generated are distributed to investors. END