Wakala Overdraft

The Product is a short-term overdraft facility which will be based on the Islamic financial principle of Wakala. Under the Product, the customer and the Bank enter into an Investment Wakala arrangement, whereby the Bank appoints the customer as its agent to invest the Investment Amount, in the customer’s business (“Business”) that must be in compliant with Shariah, with the aim of generating profit. The Customer will be able to withdraw and deposit funds as and when required within the agreed limit, hence providing the customer with the much-needed flexibility to manage their cash needs in the most efficient manner.

Features and Benefits

• Availability of multiple currency (AFN, USD)
• SMEs Financing Limits: AFN 500,001 to AFN 15,000,000 or equivalent in USD
• Corporate Financing Limits: AFN 15,000,001 to AFN 300,000,000 or equivalent in USD
• The Profit Margin is based on mutual agreement
• The Grace Period ranges from zero to three months depending to the nature of the business cashflow
• Partial Payment is allowed
• Financing Term is from six months to one year

Security Requirements

• The original title deed of the property
• Guarantor/Stock Registered/Equitable Mortgage of Property
• Hypothecation charge on entire present & future current assets of the business
• Personal/Financial guarantees
• Presentment of original NID, Valid Business Licenses, and Sharia or Urofi title deed

How to Apply

For more information please call our Customer Service Centre by dialing 599 or visiting any of our branches.