Open Space Unveils Ethical Finance Model, Targets Wider Access to Capital, Asset Ownership

Open Space Financial Services Limited has introduced its Ethical Finance proposition, integrating Shariah-compliant structures with AI, machine learning, and digital technology. The company aims to expand access to capital, productive assets, and investment opportunities for underserved individuals and businesses. Open Space's CEO, Titus Adakole Ikeh, emphasized that financial innovation should serve a broader social and economic purpose, ensuring meaningful inclusion.

The Ethical Finance model leverages structures such as Murabaha, Ijarah, Diminishing Musharakah, and Mudaraba to offer financing, asset acquisition, and investment opportunities without interest-based lending. In Murabaha, Open Space acquires an asset requested by a customer and sells it at a disclosed cost plus agreed profit. Ijarah involves the company acquiring an asset and leasing it to the customer over a specified period.

Diminishing Musharakah allows customers to jointly acquire an asset, progressively purchasing Open Space’s ownership units until they become the sole owners. Mudaraba extends the model to savings and investments, with customers providing capital while Open Space manages Shariah-compliant opportunities, with profits shared according to a pre-agreed ratio.

The company's technology architecture incorporates a Single Customer Financial Core, enabling customers to manage transaction, investment, and goal-based wallets through a single interface. Open Space aims to drive personalized, transparent financial services through AI and automation, focusing on growing businesses, acquiring assets, creating opportunities, and earning trust.