Diminishing Musharaka – Trust Modaraba
HomeServicesAdvisoryDiminishing Musharaka

Diminishing Musharaka

It is a medium to long-term financing

A facility that enables businesses to finance different development projects and capital investments

OVERVIEW

​Diminishing Musharakah is a medium to long-term financing facility that enables businesses to finance different development projects and capital investments.

FEATURES

  • Partial risk-sharing of the financed asset.
  • It can be used to finance the acquisition/construction of capital assets such as land, factory, building, etc.
  • Ideal for investment banking and project financing needs.
  • Flexibility to choose between fixed and floating rates.
  • Competitive pricing.

CRITERIA

  • Customers must meet the bank’s as well as applicable regulator’s policies.
  • Customer to provide acceptable collateral as per modaraba requirement

HOW TO APPLY

APPLICANT TO PROVIDE:

  • Customer’s Basic Fact Sheet.
  • Facility Application Form.
  • Financial Statements (as per Prudential Regulations and modaraba requirements).
  • Company’s Profile.
  • Other documents as per the modaraba policy