Manama, Bahrain- 31 October 2016- Bahraini citizens will be offered government-subsidised financing through Ithmaar Bank to help them buy their first homes in a new development in Riffa, as part of a national scheme Mazaya (previously known as Social Housing Scheme) designed to address the Kingdom’s housing challenges.
The agreement is the second of its kind between the two institutions, as earlier this year, agreements were signed to finance the Danat Al Seef housing project.
The announcement follows the signing of a Memorandum of Understating (MoU) between Ithmaar Bank and Eskan Bank to provide government-subsided financing for the Danaat Al Riffa development, a 3 building, 6-storey, 84 apartment housing project. The development offers four designs, various two, three and four-bedroom apartment options ranging in size from 113 to 195 square meters, as well as parking facilities for the apartments.
The MOU was signed by Eskan Bank General Manager, Dr. Khalid Abdulla and Ithmaar Bank General Manager, Banking Group, Abdul Hakeem Al Mutawa, .
The scheme allows eligible citizens to finance their first homes through Ithmaar Bank by paying 25percent of their monthly income towards the property’s monthly instalment with the rest being paid for by the Ministry of Housing through Eskan Bank.
“As a pioneering Islamic retail bank, Ithmaar recognises the important role it must play in the local community,” said Al Mutawa. “We are delighted to be working in partnership with the Ministry of Housing and Eskan Bank to help realise this ambitious scheme and provide the necessary support to customers looking to buy their first homes,” he said.
“The scheme effectively allows housing applicants to purchase residential units immediately from the private sector without having to stay on the housing services waiting list,” said Al Mutawa. “It gives the applicant the choice of purchasing a housing unit developed by an accredited developer or any housing unit approved by the Ministry,” he said.
“Ithmaar Bank is committed to playing a real and meaningful role in the community, and we are privileged to be able to participate in the scheme,” said Al Mutawa. “We are confident that, working in partnership with the Ministry of Housing and Eskan Bank, Ithmaar Bank will be able to help our customers overcome the challenges of purchasing their first home,” he said.