As with all Sohar Islamic financial products, both these products are fully compliant with the Islamic Sharia'a law and provide a comprehensive Islamic finance solution for anyone looking for Sharia'a-compliant financial aid in acquiring desired goods or services.

Salim Khamis Saif al Maskari, DGM and head of Sohar Islamic, said, 'The launch of these new products reflects Sohar Islamic's growth strategy, with a focus on enhancing our range of products and expanding our retail reach.

'It also provides further evidence of Sohar Islamic's continued commitment to providing our customers across various segments, with compelling value propositions and attractive financial solutions that will greatly enhance their overall banking experience with us.'
This personal finance product is based on the Islamic financing principle of Goods Murabaha wherein the bank, at the customer's request, purchases certain goods from the authorised dealer and sells the same to the customer at an agreed price.

Similar to Good Murabaha, Service Ijarah is designed to provide customers with financing to acquire needs, whether it is for an unexpected medical condition, to finance education or for travel or weddings in addition to other financial requirements.

Based on the Islamic financing principle of 'Ijarah' for the services, the bank will have agreements with various service providers, whereby it will lease the services required by the customer directly from the provider and sub-lease it to the customer.

Maskari added, 'The key advantage of both these products is that the customer has complete clarity on the bank's profit mark-up and the instalment value at the time of signing the deal, which never changes throughout the financing term.

Furthermore, this arrangement allows for immediate possession/ownership of the goods and access to the services requested in a Sharia'a-compliant manner.'

Both products are available to any Omani national or resident expatriate who has their salary transferred to Sohar Islamic.
The services also come with very competitive profit rates and fast and easy approval with simple documentation.

Finance is available for up to 100 per cent of the goods or services value and for a maximum payment period of 120 months. Sohar Islamic was launched in 2013.

Sohar Islamic has a comprehensive range of banking solutions that cover a wide array of retail and corporate financing needs.

These include SME banking, auto finance, term deposits, savings accounts, current accounts and construction and housing finance for the bank's retail customers.

For its corporate clients, Sohar Islamic offers construction finance, asset finance, working capital finance, project finance, trade finance, treasury and investment products.

All products and services offered by Sohar Islamic adhere to the highest level of Sharia'a compliance and are specifically designed to meet certain key criteria including a complete segregation of funds, standalone and independent branches, separate sales staff, a strong Sharia'a Supervisory Board and Sharia'a Audit and Compliance unit, committed management and the application of the world's best Islamic banking software.

In addition, Sohar Islamic assures compliance with the standards of the Accounting and Auditing Organisation for Islamic Financial Institutions (AAOIFI).