SME Digital has opened applications for Islamic Micro Financing, the first product introduced by Bank of Maldives (BML) under the Maldives Islamic Social Financing Initiative (MISFI).

The product offers financing of up to MVR 100,000 at a rate of 2.5 per cent, the lowest financing rate currently available in the Maldives. To support business sustainability, the financing tenor can be extended for up to 10 years, with a grace period of up to 12 months. The facility also features flexible terms, including zero application and processing fees.

Islamic Micro Financing is targeted at individuals and businesses that face difficulties accessing finance through the traditional banking system, including micro, small and start-up enterprises. Structured in accordance with Islamic principles, the financing is specifically open to individuals who have not previously received financing from any bank or financial institution.

Chief Executive Officer of SME Digital, Badhurudheen Hassan, said the initiative aims to widen access to financing and build a more inclusive financial system.

Applications for Islamic Micro Financing are now open through the SME Portal.

The Maldives Islamic Social Financing Initiative is a special fund jointly established by the Maldives Monetary Authority (MMA), Bank of Maldives (BML) and Maldives Islamic Bank (MIB). Under the initiative, allocations of MVR 20 million from the MMA, MVR 30 million from MIB and MVR 200 million from Bank of Maldives have been committed for the next three years.