A $25-million syndicated three-year Murabaha facility, granted to the Bank of Beirut, has been signed in August 1, 2002. The revolving Murabaha facility was arranged by The Arab Investment Company (TAIC) and was joined by Dubai Islamic Bank (DIB) and Shamil Bank of Bahrain.
Bank of Beirut’s Chairman and General Manager Saleim Sfeir signed the agreement on behalf of the borrower, while TAIC General Manager Faisal Al-Alwan signed as Mudareb of the facility.
Bank of Beirut provides customers in Lebanon with financial services including commercial, residential, domestic and international business—lending, savings, cash management and advisory services.
An Islamic-base financing, Murabaha is a contract with a "cost plus" financing structure. A purchaser asks an intermediary—typically a financial institution—to acquire a commodity or asset on its behalf with the understanding that the purchaser will re-purchase the item from the intermediary, on pre-determined terms, i.e. the profit margin and payment terms are agreed in advance. — (menareport.com)
© 2002 Mena Report (www.menareport.com )