Financing Products

Murabahah-based financing solutions: term financing, revolving facilities, import LC, and pre/post-shipment export financing structured entirely free of interest.

Murabahah (Cost-Plus Profit)

Murabahah Term Financing

A sale of a commodity for the price at which the Bank purchased it, plus a stated profit agreed by both buyer and seller.

Terms & Conditions

The Bank must hold title to the commodity before selling it to the customer
The commodity must come into the Bank's possession, physically or constructively
The sale cannot take place until the commodity is in the seller's possession, though an agreement to sell can be signed beforehand

Unique Features

A pure Shari'ah-compliant financing service
Sale at a deferred price, including an agreed profit added to cost
The Bank purchases the commodity itself (or through an appointed agent) before selling to the customer
Repayment through easily affordable installments
Short- to medium-term financing
Collateral may be required

Murabahah Revolving Financing Facility

For the purchase of inputs on an ongoing, revolving basis, structured under the same cost-plus-profit Murabahah principles.

Murabahah Import LC Financing

For the purchase of inputs and machinery from abroad, financed through a Murabahah-based Letter of Credit arrangement.

Murabaha Pre-Shipment Export Financing Facility

Extended to IFB exporters for purchasing raw materials, processing and converting them into finished goods, and covering transport, warehousing, and packing until the goods are shipped — bridging exporters' short-term working capital needs.

Amount, tenure, and other criteria are set per NBE directive

Requirements

Applicant should be engaged in a viable business
Collateral offered for the requested facility
Valid Export Trade License
Facility availed against a sales contract
Evidence of past export performance
Export plan by type and quantity

Murabahah Post-Shipment Export Financing

For the period after goods have been shipped, helping exporters bridge working capital until payment is received from the foreign buyer.

Specific Requirements by Customer Type

For Exporters

Export plan by type and quantity
Export sales contract (bona-fide order from foreign buyer)
Past export performance
Condition of warehouse and processing plant

For Importers

Past import performance
Pro-forma invoices
Approved purchase order (if any)
Letter of Credit opened
Marketability of the goods to be imported

For Manufacturers

Full description of installed machinery: country of origin, year of manufacture, status, etc.
Production capacity
Availability of spare parts
Availability of raw materials (local and foreign)
Marketability of the goods to be manufactured, and sales outlet

Financing Products