Press Release
AlHuda CIBE to Establish an Islamic Microfinance Operation for Digaf MFI
A new advisory engagement focused on Sharia governance, product development, digital enablement, capacity building, and sustainable Islamic microfinance operations
Dubai, UAE- September 2026: AlHuda Centre of Islamic Banking and Economics is pleased to announce a new professional advisory engagement to support Digaf Micro Credit Provider S.C. (Digaf MFI), Ethiopia, in the establishment and digitalization of its Islamic Finance Business Division.
The initiative reflects the growing demand for inclusive and Sharia-compliant financial solutions that can support individuals, salaried customers, micro and small enterprises, and other underserved market segments. Through this engagement, AlHuda CIBE will provide general Sharia advisory and consultancy support for developing a credible, practical, and sustainable Islamic finance operating model.
The project will broadly focus on institutional readiness, Sharia governance, product planning, product documentation, digital customer journeys, risk and compliance controls, training, knowledge transfer, and final handover. The overall objective is to help establish an Islamic finance framework that is not only Sharia-compliant in structure, but also practical for implementation and sustainable for long-term institutional growth.
A key objective of Digaf MFI under this engagement is to develop digitally enabled Sharia-compliant financial services that can provide customers with accessible, efficient, and responsible financial solutions. Rather than focusing solely on the digitalization of an existing division, the initiative will support the integration of Sharia principles into digital product design, customer journeys, operational processes, documentation, controls, and service delivery from the outset.
A key feature of the engagement is its emphasis on digitalization. As financial institutions increasingly adopt technology-driven delivery models, Islamic finance products must be translated into accurate digital processes while maintaining the correct contractual sequence, customer consent, documentation, audit trails, ownership requirements, and Sharia control points.
Speaking on the occasion, Mr. Muhammad Zubair, Chief Executive Officer of AlHuda CIBE, stated:
“Islamic microfinance has the potential to play a meaningful role in financial inclusion, entrepreneurship, and social development when it is supported by strong Sharia governance, sound product structures, proper documentation, and trained human resources. AlHuda CIBE is pleased to contribute its advisory experience to this important initiative and to support the development of practical Islamic finance solutions for emerging markets”
Ato Dereje Turi, Chief Executive Officer of Digaf MFI, stated:
“Digaf MFI is committed to expanding access to inclusive and Sharia-compliant financial services through innovative and digitally enabled solutions. This collaboration with AlHuda CIBE will support our efforts to develop practical Islamic Finance services that respond to the needs of our customers while maintaining strong Sharia governance, responsible finance principles, and sustainable operational practices.”
The engagement is expected to contribute to the strengthening of Islamic microfinance and digital Islamic finance practices in Ethiopia. It also represents another step in AlHuda CIBE’s continuing efforts to support institutions across African markets through advisory, consultancy, product development, Sharia governance, research, and professional capacity building.
AlHuda CIBE has extensive experience in Islamic banking, Islamic microfinance, Takaful, Sukuk, Sharia advisory, market research, product development, institutional transformation, and capacity-building assignments in different regions of the world. The organization continues to work with financial institutions, development organizations, regulators, and stakeholders to promote practical, responsible, and sustainable Islamic finance solutions.
The new project will further strengthen collaboration in Islamic microfinance by combining advisory expertise, institutional development, product-level guidance, digital readiness, and capacity-building support. It is expected to help create a strong foundation for future Islamic finance operations and customer-focused financial inclusion initiatives.
About AlHuda CIBE
AlHuda CIBE is a recognized international Islamic banking and finance advisory, consultancy, training, and research organization working for the promotion and development of Islamic finance worldwide. It provides services in Islamic banking, Islamic microfinance, Takaful, Sukuk, Sharia advisory, product development, research, publications, capacity building, and institutional development. AlHuda CIBE has worked with financial institutions, regulators, governments, development organizations, corporates, and academic institutions across different regions, including Africa, the Middle East, Central Asia, South Asia, and other emerging Islamic finance markets.
About Digaf MFI
Digaf Micro Credit Provider S.C. (Digaf MFI) is an Ethiopian microfinance institution focused on providing accessible financial services to underserved individuals, salaried customers, micro and small enterprises, and other segments of the market. Through its development of digitally enabled Sharia-compliant financial services, Digaf MFI aims to expand inclusive financial access while supporting responsible and sustainable financial solutions for its customers.
Media Contact:
Shehla Hameed
Manager – Communications & Relations
AlHuda Centre of Islamic Banking and Economics
Email: info@alhudacibe.com
Website: www.alhudacibe.com
