Faisal Islamic Bank of Egypt decided to take part in the Central Bank of Egypt’s mortgage finance initiative.
Faisal Islamic Bank announced in a statement on Monday its participation in the Central Bank of Egypt’s initiative finance low-income housing projects.
In this respect, the bank revealed the launch of its mortgage finance product to finance low-income housing projects as pursuant to the Shariah-compliant finance Murabaha.
CBE announced in February that it had allocated EGP 10 billion ($1.44 billion) to finance low-income housing projects, with the aim of boosting the construction and real estate sectors.
The money will be sent to banks, in the form of deposits, over a period of 20 years at low interest rates. Low-income citizens who qualify to benefit from the programme will be lent the money at yearly interest rate of 7% to 8%.