ABB Bank signs its first islamic banking transaction!

ABB Bank, which recently began offering customers financing products based on the Murabaha mechanism under the special regulatory regime, has completed its first transaction in this area. Novco Group became the first partner to use the Bank’s Murabaha product.

Murabaha is a financing instrument that complies with Islamic finance principles. The product enables entrepreneurs to finance the purchase of goods or assets through the Bank. Under this model, the Bank purchases the item required by the customer and then sells it to the customer at a pre-agreed price. The price and payment terms remain unchanged thereafter. The Bank’s income is generated through a trade markup agreed with the customer in advance.

ABB Bank’s Murabaha product is available to all legal entities and individual entrepreneurs. The minimum financing amount is AZN 100,000 or its equivalent in another currency, while the maximum amount is AZN 5 million or its equivalent in another currency. The financing term ranges from one to three years.

Information about ABB Bank’s modern, useful and universal products and services is available at the Bank’s branches and service offices, on the official website at //abb-bank.az/, through the Information Centre by calling 937, and on the Bank’s official corporate social media pages.