BankMuscat International (BMI) has announced its entry into the competitive retail lending market with the launch of its mortgage loan, personal loan and vehicle loan products directed at discerning customers.
The Bank, which ‘formally’ opened its doors to the public on January 1 this year has been set up in association with some of the strongest and most respected financial institutions from across the GCC region, including BankMuscat SAOG (Oman), Royal Court Affairs (Oman), Overseas Investment S.P.C (Bahrain), Istithmar (UAE) and Global Investment House (Kuwait). BankMuscat Oman, it maybe recalled, merged its existing Bahrain operations, which it had bought out from ABN AMRO Bank in 2002, with BMI.
Speaking on the Bank’s new offerings, the chief executive of BMI, Musallam Al-Shukairi said: “The GCC today is one of the fastest growing economies of the world. Bahrain, we believe, is well poised to ride this growth. With the government’s visionary policies set to take wing, domestic consumption patterns are expected to significantly rise in future. We believe that the retail-banking sector in Bahrain holds tremendous potential. Our suite of loan products is the first in a series of new retail banking products targeted at discerning customers in Bahrain. BankMuscat International is committed to helping the people of the GCC realize their dreams.”
BMI currently offers its customers a range of retail products and services including savings and current accounts, consumer lending, credit cards and certificates of deposit. Its flagship retail product, the Al Mazyona Savings Certificate, which it launched in the last quarter of 2003, has grown from strength to strength with a significant number of people deciding to repose their faith in the bank. In addition to Retail Banking, BMI offers Corporate Banking, Private Banking, Treasury, Islamic Banking Services and Trade Finance Services with plans to develop many new products. The Bank has a region focused expansion plan.
Speaking on the new product offerings, Abbas Al Derazi, Retail Banking Manager said: “We have carefully studied the products on the market and the needs of the consumers and have found distinct niches that our products can occupy.”
The BMI mortgage loans will be available up to a limit of BD 250,000 and will come with a long repayment tenure (up to 25 years) and a low down-payment criteria (15%). Such mortgages will be available for purchase of an existing house, land, construction of a building or even renovation or extension of an existing property. Loan approval normally takes one to two weeks.
For Vehicle Loans, BMI aims to help ‘mature and responsible’ adults of any nationality, 25 years and over, to get a car in a country where new private-vehicle registrations top 13,000 annually. While individuals buying new vehicles are primarily targeted, BMI also caters for internationally reputed car-hire companies and large corporate houses wanting to add to their fleets. Loan approvals are to be normally expected within 24 hours or the completion of the first working day and will be sanctioned up to 85% of the invoiced price.
“We firmly believe there is a niche for value-added Retail Banking products and services in Bahrain that meet the current and emerging needs of the people. That is a niche we intend to fill,” Mr. Musallam added.
BMI plans to considerably strengthen and expand its retail products and services as well as expand its presence across the Kingdom in the near future.
