Bahrain's BMI Bank has launched a new Sharia-compliant financing scheme that includes letters of credit (L/Cs) and bank guarantees.

The scheme was developed in association with Tamkeen, an independent government funded agency that provides various kinds of support, including subsidies, aimed at developing Bahraini individuals and enterprises.

Access to finance

The new Sharia-compliant financing scheme is targeted at private sector enterprises in Bahrain.

It aims to offer enterprises quick and convenient access to finance to implement their expansion plans.

Product range

Subsidised finance packages are available at tenors of up to 10 years. As part of the agreement, Tamkeen will guarantee 50 per cent of the total financing amount and subsidise payments due from participants in the scheme.

The scheme also offers trade finance products, including L/Cs and bank guarantees as well as Islamic instruments such as Murabaha financing for working capital, vehicle and equipment financing.

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