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Murabaha Facilities

Bank Nizwa offers a Murabaha Facility to finance the purchase of goods required by corporates. Under the Murabaha Structure, the Bank purchases goods upon request by the client from the supplier on a cost price based on the invoice. The bank then sells the goods to the corporation on a Murabaha (cost plus profit) basis.

The Murabaha selling price as well as the payment tenure of the price is fixed whether the price is to be paid in installments or as a lump-sum. This could help the institution to manage its inventory/asset requirements in a Sharia compliant manner and pay its financial obligation to the Bank either in whole or in part based on the company’s cash flows.

Murabaha financing is utilized in Islamic Finance due to its practicality, convenience, ability to meet regular business requirements and to facilitate short to medium term asset financing requirements.

For more information on our Murabaha Facilities for Corporations please contact: 800 700 60