Bahrain's labour fund Tamkeen and Al Salam Bank-Bahrain have jointly signed a portfolio worth BD20 million ($53 million)within the Sharia-compliant financing program “Tamweel+.”

Recently launched by Tamkeen with a competitive profit rate, Tamweel+ aims to provide financing solutions to projects in the range of BD1 million to BD2.5 million ($2.63 million to $6.5 million) with Tamkeen supporting 70 per cent of the annual profit rate capped at (eight per cent on reducing balance).

On the outstanding growth, Tamkeen CEO Dr Ebrahim Mohammed Janahi said: "We are delighted that the portfolio of Tamweel+ has reached BD60 million within such a short span of five months since its launch. This comes within the framework of our endeavour to serve a larger segment of citizens and institutions, providing them with the funding necessary to expand and internationalize."

"We are proud of our ongoing seven-year-long partnership with Al Salam Bank and delighted that they joined the Tamweel+ program. Through this partnership, we look forward to assisting many institutions in Bahrain to achieve further growth and development," he stated.

Al Salam Bank-Bahrain Group CEO (banking) Anwar Murad said: "As one of the pioneering Shari’a-compliant banks in the kingdom, we are pleased to sign this agreement with Tamkeen for Tamweel+, providing enterprises financing facilities that will help entrepreneurs access quick and suitable financing solutions for the development and expansion of their business, in addition to benefitting from our innovative and Sharia-compliant banking products and services."

Anwar Murad added, "Coinciding with our commitment to support and encourage investments in important sectors, it is our responsibility to contribute to the growth of the local economy and to strengthen leadership in private enterprise development.”

The program allows institutions the freedom to use this financing for the purpose of investment, expansion or diversification, in addition to a long term repayment period of up to 10 years.

The objective is to support medium and large institutions, aiding them to address the most important challenges they face during their various developmental stages.

The partnership between Tamkeen and Al Salam Bank began in July 2010, by providing required financing to institutions through the program Tamweel, the combined portfolio of which has reached BD58 million to date, contributing to the support of over 250 institutions in Bahrain.-TradeArabia News Service