Musharakah Documentary Bill (MDB)
The c under Shirkah Mechanism of Islamic Finance for post-shipment financing of our Islamic Banking Branches and Windows is an alternative mode of post-shipment finance to conventional IBP (Inland Bills Purchased).
Objectives of MDB
To meet investment need against Inland Export Bills drawn in FC or BDT.
To avoid unnecessary involvement of fund in the Foreign Currency Position against purchase of F.C. against Inland Export Bills.
Eligibility for MDB
Deemed Exporters who have specific limit and ability to repay from export proceeds.
The firms and factories who supply raw materials (yarn, fabrics, chemicals and accessories) to the export-oriented garments factories against Back to Back L/Cs and other Farms/Industries who supply their goods through Local LC.
Tenure of MDB Deals
The tenure of each MDB deal will be calculated by adding 30 days with the maturity date of the export bill; but not exceeding the 180 days from the date of disbursement.
Profit Sharing Ratio (PSR)
The profit sharing ratio of MDB is determined by Islamic Banking Wing (IBW) from time to time.
Realization of Proceeds
The Export Bill Proceeds will be realized in Foreign Currency or in BDT separately.
Conversion Rate of FC for MDB Finance
The Branch/Window will convert the disbursable F.C. of related Export Bill amount to BDT at the time of disbursement of MDB applying conversion rate quoted by Treasury Division of Head Office.
The Treasury Division will provide this Exchange Rate from time to time applicable for conversion of disbursable amount of FC at the time disbursement of inland Musharakah Documentary Bills (MDB) complying the principles of Islamic Shari`ah.