Bank of Maldives (BML) has announced that its BML Islamic Personal Finance provides cash or products up to MVR 1.2 million. BML’s personal financing enables financing for cash, purchasing goods, financing services, and constructing or renovating a property. The facility offers cash receipts in line with the Tawarruq principle, which is a fundamental concept in Islamic banking.
Tawarruq is an Islamic finance approach that involves selling a commodity at a profit on the purchase price. This facility allows clients to receive cash and repay it in monthly installments. Early payments are also eligible for a discount in accordance with the bank’s policies.
BML explained that its Islamic Personal Finance can be applied for through the bank’s website or mobile banking application, with processing taking up to five days. Moreover, the facility accepts various income sources, including salaries, rental income, business income, retirement pensions, and any other verifiable income. BML added that the facility offers a 15% annual interest rate and will be granted on a pay-as-you-go basis over five years.