The ITFC Approves Murabahah Financing Facility with Eastern Bank Limited to Support Bangladesh’s SMEs

The International Islamic Trade Finance Corporation (ITFC), part of the Islamic Development Bank (IsDB) Group, has approved a Murabahah Financing Facility with Bangladesh-based Eastern Bank Limited (EBL). The Murabahah Financing Facility will help providing financial support to EBL’s private sector business, particularly that of small and medium-sized enterprises that import raw materials, according to an ITFC statement.

The IsDB recently approved a USD 47 million credit line to support Bangladesh’s SMEs, to be extended to the country’s Ministry of Finance as sovereign financing. EBL is the latest institution to work with the ITFC to finance outreach to the private sector via domestic banks in Bangladesh, according to the statement.

According to Ali...