KFH, Diyar in housing unit finance deal

Manama : Kuwait Finance House - Bahrain (KFH-Bahrain) and Diyar Al Muharraq have signed a Memorandum of Understanding (MoU) to fund the purchase of housing unites in “Deerat AlOyoun” through ‘Mazaya’ social housing programme.  

The move also made KFH-Bahrain the first bank to finance the housing units. The deal was signed by Khalid Rafea, Head of Retail Banking at Kuwait Finance House – Bahrain and Dr. Maher AlShaer, CEO of Diyar AlMuharraq at the bank’s headquarters in the Bahrain World Trade Centre.

“Deerat AlOyoun” is in the southern area of Diyar Al Muharraq which is 1.2 million square meters and will include 3,100 housing units valued more than US$730m. The units are scheduled to ready during the last quarter of 2018.

AbdulHakeem AlKhayaat Managing Director and CEO of KFH-Bahrain commented: “The bank is working to provide appropriate Islamic financial products to finance the citizens in order to purchase the appropriate housing units with ‘Mazaya’.” 

Khalid Rafea, Head of Retail Banking at KFH – Bahrain said: “We are delighted that Kuwait Finance House - Bahrain’s is the first approved financing Banks among the other financiers for the project of “Deerat AlOyoun” in Diyar AlMuharraq. Besides being an Islamic finance, the Bank excels to provide financing at competitive profit rates with repayment period  of 25 years.”

Commenting on the occasion, Dr. Maher Al Shaer, CEO of Diyar AlMuharraq said: “Our participation in the Ministry of Housing development plans proof of our strong commitment to contribute and participate in the future strategies of the Kingdom’s housing sector.”

Mazaya Project

‘Mazaya’ is a Social Housing Finance Scheme devised to assist beneficiaries in the housing waiting list to purchase a unit by obtaining financing from a participating Bank. The beneficiary will pay up to 25 per cent of his/her monthly income. The government support shall be equivalent to the difference between the monthly instalment paid by the beneficiary and the required instalment amount by the participating Bank.