ruya bank has entered into a strategic partnership with specialist analytics consultancy 4most to design and implement an IFRS 9 Expected Credit Loss framework. The collaboration is intended to support the bank’s initial portfolio rollout while embedding strong credit risk governance from the outset. The announcement underscores ruya bank’s focus on regulatory compliance and operational resilience as it expands its presence in the UAE banking sector.
Building a Robust IFRS 9 Framework
The engagement covers the development of IFRS 9 models across retail, small and medium-sized enterprise, and corporate portfolios. As part of the project, 4most will deliver a flexible Excel-based ECL solution designed to enable smooth onboarding of additional portfolios as the bank grows. The framework also includes comprehensive model documentation, structured knowledge transfer sessions, executive-level presentations, and assistance with validation, audit, and regulatory inquiries.
Beyond initial model development, 4most will provide continued support for a 12-month period to oversee the execution of ruya’s ECL processes. This support includes quarterly production of ECL calculations and on-site oversight from 4most’s Head of Analytics to ensure timely receipt and validation of all required inputs. The consultancy will also present results at governance committees to facilitate approvals and complete the end-to-end ECL cycle.
Supporting Sustainable Growth
As ruya bank broadens its product offerings, the IFRS 9 framework has been designed with scalability in mind. The structure allows for updates to models and documentation as new portfolios are introduced, ensuring ongoing alignment with IFRS 9 requirements and regulatory expectations. This forward-looking design is intended to position the bank for sustainable expansion while maintaining transparency in its credit risk processes.
Mohamed Siddique Lair, Head of Risk at ruya bank, said the collaboration has played a critical role in establishing a strong IFRS 9 foundation during a key growth phase. He noted that 4most’s pragmatic approach and technical expertise enabled the bank to implement regulator-ready models that remain operationally efficient. He also highlighted the importance of governance support and knowledge transfer in equipping internal teams to manage ECL processes independently over time.
Jarred Lloyd, Head of Analytics at 4most, said building IFRS 9 capability early provides banks with a competitive advantage as their portfolios evolve. He explained that the consultancy’s focus was on delivering a framework that balances regulatory rigor with practical usability. According to Lloyd, scalable models and clear governance structures are essential to maintaining compliance and operational effectiveness in a dynamic banking environment.
About the Partners
Headquartered in Ajman and launched in 2024, ruya bank, formally known as Ruya Islamic Community Bank LLC, operates as a Shariah-compliant digital bank licensed by the UAE’s central bank as a specialised institution. The bank combines technology-driven services with the principles of Islamic finance, offering solutions tailored to individuals, entrepreneurs, and small businesses. It positions itself as a community-focused institution committed to fairness, transparency, and financial inclusion, supported by digital channels and open-door branch hubs.
4most, meanwhile, is an international analytics consultancy specialising in credit risk, insurance, data, and market risk advisory services. With offices across the Middle East, the United Kingdom, and Europe, and a workforce of more than 300 professionals, the firm provides model development, validation, and regulatory change support to financial institutions. The company has received industry recognition, including being named among the Financial Times’ fastest-growing companies in Europe and winning a digital transformation award in the MEA region.
The partnership between ruya bank and 4most reflects a strategic emphasis on establishing rigorous credit risk practices at an early stage of the bank’s development. By combining technical modelling expertise with hands-on execution support, the initiative aims to ensure compliance with IFRS 9 while maintaining operational flexibility. As ruya bank continues to expand its portfolio and product suite, the scalable ECL framework is expected to play a central role in supporting transparent governance and sustainable growth.