Hejaz Group Becomes First Islamic Mortgage Provider Listed on AFG Platform

Hejaz Group, the nation’s leading provider of Islamic financial products and services, has made history as the first Islamic mortgage provider to have its products listed on the AFG mortgage aggregator platform. This groundbreaking partnership marks a new era in accessible and ethical home financing for Australia’s 1.2 million Muslims, offering them a pathway to homeownership that aligns with their deeply held religious beliefs.

Innovative Approach of Hejaz Group

For many Muslims in Australia, securing a mortgage has long been a complex challenge due to the Islamic prohibition against paying or earning interest, known as riba. Traditional lenders, which operate on interest-based models, have often left these individuals with limited or no viable options for financing their homes. This has not only impeded their ability to achieve the Australian dream of homeownership but has also highlighted a significant gap in the country’s financial services sector.

Hejaz Group has stepped in to bridge this gap by providing Shariah-compliant mortgage solutions meticulously designed to adhere to Islamic principles. These products utilize alternative financing structures such as Murabaha (cost-plus financing) and Ijara (lease-to-own agreements), which allow Muslims to purchase property without engaging in interest-based transactions. This innovative approach ensures that clients can invest in real estate confidently, knowing their financial practices are in harmony with their faith.

The partnership with AFG, one of Australia’s largest mortgage aggregators, is a testament to the growing recognition and acceptance of Islamic finance in the mainstream market. With over 3,800 AFG-accredited mortgage brokers now able to offer Hejaz’s Shariah-compliant products, the reach and impact of Islamic finance in Australia are set to expand significantly, promoting financial inclusivity and diversity.

Empowering a Growing Community

Australia’s Muslim population is one of the fastest-growing and most economically active communities in the country. According to recent census data, Muslims in Australia are not only increasing in number but also contributing significantly to the nation’s economy through entrepreneurship, professional services, and active participation in various industries. Despite this, many have faced systemic barriers in accessing financial products that align with their ethical and religious standards.

Hakan Ozyon, CEO of Hejaz Group, expressed his enthusiasm about the partnership, emphasizing its potential to transform the financial experiences of Muslim Australians. “This collaboration with AFG is a crucial step towards fulfilling our mission of helping Australia’s Muslim community achieve their dream of homeownership without compromising their religious values,” Ozyon stated. He added that the availability of Shariah-compliant financial products is not just a matter of convenience but also one of dignity and respect for cultural and religious diversity.

Moreover, this partnership is poised to empower Muslim women and younger generations, who are increasingly seeking financial independence and investment opportunities. By providing accessible and ethical mortgage solutions, Hejaz Group and AFG are enabling more individuals within the community to build wealth, secure their financial futures, and contribute positively to the broader Australian economy.

Benefits Beyond the Muslim Community

The collaboration between Hejaz Group and AFG is not only beneficial for Muslim Australians but also represents a strategic expansion for both organizations into a niche yet rapidly growing market segment. This move underscores AFG’s commitment to diversifying its product offerings and catering to the varied needs of its extensive client base.

The Lam, AFG’s general manager of aggregation, noted that the partnership addresses a significant and previously underserved segment of the market. “We have seen a surge in inquiries from brokers representing Muslim clients, and it was clear that there was a gap in the market that needed to be filled,” Lam explained. “Hejaz Group, with its professional and innovative approach, provides the perfect solution. Their broker-friendly platform ensures seamless integration of their products, offering our network a diverse range of Shariah-compliant mortgage solutions.”

This partnership also sets a precedent for other financial institutions to recognize and cater to the diverse financial needs within Australia’s multicultural society. By integrating Shariah-compliant products into mainstream financial platforms, the collaboration promotes inclusivity and sets the stage for broader acceptance and understanding of Islamic finance principles.

Hejaz Group’s Comprehensive Financial Services

Beyond mortgage solutions, Hejaz Group has established itself as a comprehensive provider of a wide array of Islamic financial services. With over $1.3 billion in funds under management and advice, the group has demonstrated robust growth and a strong commitment to ethical finance.

Hejaz Group offers a diverse portfolio of services, including:

• Funds Management: Providing investment opportunities that are screened and certified to comply with Shariah principles, ensuring that clients’ investments are both profitable and ethical.
• Financial Planning: Assisting clients in achieving their long-term financial goals through tailored strategies that respect Islamic guidelines.
• Accounting and Tax Services: Offering specialized accounting solutions that consider the unique aspects of Islamic finance, ensuring compliance and efficiency.
• Superannuation Services: Managing retirement funds in a manner that aligns with clients’ faith, providing peace of mind for their future.
• Insurance Offerings: Delivering insurance products that adhere to Islamic ethical standards, protecting clients and their assets responsibly.

By providing these comprehensive services, Hejaz Group positions itself as a one-stop solution for Muslims and non-Muslims alike who are seeking ethical and Shariah-compliant financial products. This holistic approach not only simplifies financial management for clients but also reinforces the group’s reputation as a leader in ethical finance.

The Future of Islamic Finance in Australia

The successful integration of Hejaz Group’s products into the AFG platform signals a promising future for Islamic finance in Australia. As awareness and demand for Shariah-compliant financial services continue to grow, more financial institutions are likely to explore similar collaborations and product offerings.

Industry experts predict that the Islamic finance sector in Australia could witness substantial growth in the coming years, driven by demographic shifts and increasing recognition of the profitability and sustainability of ethical finance models. This expansion could lead to more innovative products, greater competition, and enhanced services that benefit consumers across the board.

Furthermore, the growth of Islamic finance in Australia has the potential to attract international investment and strengthen economic ties with countries in the Middle East and Southeast Asia, where Islamic finance is already well-established. This could open up new avenues for economic cooperation and development, benefiting the Australian economy on a broader scale.

A Landmark Achievement in Financial Inclusivity

The partnership between Hejaz Group and AFG represents a landmark achievement in promoting financial inclusivity and diversity in Australia. By making Shariah-compliant mortgages readily accessible, this collaboration empowers Muslim Australians to pursue homeownership and financial prosperity without compromising their religious and ethical principles.

This milestone sets a powerful example for the financial industry, demonstrating that accommodating diverse cultural and religious needs is not only socially responsible but also economically advantageous. As the landscape of Australian finance continues to evolve, initiatives like this will play a critical role in ensuring that all individuals have equal opportunities to achieve their financial goals.

Hejaz Group continues to lead the way in providing innovative, ethical, and inclusive financial solutions, solidifying its position as a pioneer in the Islamic finance sector and a champion for the financial well-being of all Australians.

The partnership between Hejaz Group and AFG is a positive step for Muslim Australians who have traditionally faced challenges in accessing Shariah-compliant mortgage products. The partnership will make it easier for Muslim Australians to purchase a home without compromising their religious beliefs.