This response to your letter and subsequent telephone discussions requesting our opinion regarding whether the National Bank Act permits The United Bank of Kuwait PLC (“UBK” or “Branch”), a Federal branch located in New York, New York, to offer a residential Net Lease home finance product as part of the business of banking, pursuant to 12 U.S.C. § 24(Seventh) and 12 U.S.C. § 371. The Branch currently has an active mortgage lending business and wishes to have the flexibility to offer Net Leases to meet the special needs of its customers who adhere to the principles of Islam. The religious prescriptions of Islam or other faiths prohibit home purchasers from borrowing money where the lender charges interest and, therefore, effectively prohibit such individuals from purchasing homes by executing standard mortgages.