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Ijarah Thumma Al-Bai
Medium term financing which allows company the benefit of using any type of vehicle preferred (either for project/contract use or for any other business use) at an agreed fixed amount of rental during the financing tenor. Depending on the company's capacity to pay, the Bank may grant financing tenor of up to a maximum of 84 months. Payment of rental shall be made on a monthly basis throughout the financing tenor. The rental comprises of the original cost of vehicle and the Bank's profit margin which is charged according to the type of vehicle (i.e. either new or used) and the tenor of financing and is subject to the Bank's prevailing risk mitigation and pricing guidelines.

Ijarah
Medium to long term financing which allows company the benefit of using an asset such as plants, equipment, factory/commercial buildings, commercial vehicles, etc on rental throughout the duration of the lease. The total leased rental is fixed throughout the tenor of financing and it comprises of the original cost of the assets plus the Bank's profit margin charged in accordance to the Bank's prevailing risk mitigation and pricing guidelines. The period of lease shall depend on the type of assets and its economic life, the usage, as well as the repayment capacity of the company. The rental payment shall be made in accordance to the pre-agreed payment schedule.

We offer three types of Term Financing.

Bai Bithaman Aajil Demand Financing
A short-term one-off lump sum financing which may be granted against confirmed or expected lump sum receivables or against contract/project awarded by Government or Government Related Companies or any other pay-master acceptable to the Bank. The financing may be used for start-up/mobilization expenses for awarded project/contract or as additional capital for business. The period of financing shall be based on the expected receipts of payment with a maximum period of 12 months. The profit charged for the financing shall be calculated on a daily basis and the rate is subject to the Bank’s prevailing risk mitigation and pricing guidelines. Repayment shall be made by means of monthly profits payment and lump sum settlement of principal at the end of the financing tenor or upon receipt of payment from pay-master.

Bai Bithaman Aajil Term Financing
This financing may be granted for short, medium or long term period depending on the company's requirement and capacity to pay. The financing offers funding for acquisition of business assets (e.g. equipment, machineries & commercial property), purchase of stocks, minor renovation works, refinancing of assets and to facilitate other business requirements. Generally the financing period range between 12 months to a maximum of 84 months.

The profit charged for the financing shall be calculated based on a monthly reducing balance and the rate is subject to the Bank's prevailing risk mitigation and pricing guidelines. Repayment shall be in the form of equal monthly installments made throughout the financing tenor.

Bai Bithaman Aajil Development Financing
This is a long term financing for the purpose of funding the construction cost of a development project either owned or managed by the company. The financing will be disbursed on a draw-down basis made against an agreed progress claims/payments schedule and certified by architect or quantity surveyor or consultant. The financing period will be depending on the nature of the project and repayment capability of the company. The Bank may consider granting a maximum repayment period of 120 months.

The profit charged for the financing shall be calculated based on a monthly reducing balance and the rate is subject to the Bank's prevailing risk mitigation and pricing guidelines. Repayment shall be made in the form of equal monthly installments throughout the financing tenor.