Banque Misr offers a variety of savings certificates, whether traditional or Islamic, bearing a competitive return that satisfies all customers.
Banque Misr also links the purchase of savings certificates with a package of incentives and offers that attract different categories of customers.
Some customers wonder whether Islamic savings certificates can be redeemed without losses?
Banque Misr provides the service of redeeming Islamic certificates after 3 months and without a refund commission.
An Islamic savings certificate is a financial instrument that complies with the principles of Islamic finance, especially Islamic Sharia. These certificates are designed to provide returns through permitted methods, such as profit sharing or investing in Sharia-compliant projects.
Main features
There are no interest based earnings.
Proceeds are derived from legitimate business activities or profit-sharing arrangements.
Structure:
They are generally based on Islamic contracts such as:
Mudaraba (Profit Sharing): A partnership where one party provides the capital, and the other party manages the investment.
Murabaha (cost plus profit financing): Proceeds are derived from trading goods or assets at a profit margin agreed upon by both parties.
Sukuk-like structures: certificates backed by tangible assets rather than debt.
Purpose:
It is used as a savings tool for individuals and institutions.
Often offered by banks or Islamic financial institutions.
Returns:
Profits are distributed based on the terms of the certificate, which may vary depending on the agreement.
Risk sharing:
The capital provider bears losses (if any), ensuring compliance with Islamic principles of fairness and justice.
Social and ethical investing:
Funds are only invested in companies that comply with Islamic ethical standards.
Benefits
Ethical investment: Ensures that funds are used for social responsibility purposes.
Fixed Returns: Provides a safe and predictable way for Muslims to save while staying true to their faith.
Financial inclusion: Attracts individuals looking for financial products compatible with Islamic law.
