Al Baraka Profit Mark-up
Al Baraka Profit Mark-up
 
 

“APM” (Albaraka Profit Mark-up) is the base rate quoted by Albaraka Bank Limited from time to time (currently on a quarterly basis), which rate is subject to change periodically taking into account the change in key economic indicators such as the rate of inflation, prime rates, gross domestic product growth and other prevailing market conditions.

Historical APM rates:

 

FROM

TO

APM

01-Jan-08

31-Mar-08

14.50%

01-Apr-08

30-Jun-08

15.00%

01-Jul-08

31-Dec-08

15.50%

01-Jan-09

31-Mar-09

15.00%

01-Apr-09

31-May-09

13.00%

01-Jun-09

30-Sep-09

11.00%

01-Oct-09

31-Dec-09

10.50%

02-Jan-10

31-Mar-10

10.50%

02-Apr-10

31-Dec-10

10.00%

02-Jan-11

30-Sep-12

9.50%

01-Oct-12

31-Mar-14

9.00%

01-Apr-14

30-Sep-14

9.50%

01-Oct-14

30-Sep-15

9.75%

01 Oct-15

31-Dec-15

9.75%

01-Jan-16

31-Mar-16

9.75%

01-Jan-16

31-Mar-16

9.75%

01-Apr-16

30-Jun-16

10.25%

01-Jul-16

30-Sep-16

10.50%

01-Oct-16

31-Dec-16

10.50%

01-Jan-17

31-Mar-17

10.50%

01-Apr-17

30-Jun-17

10.50%

01-Jul-17

30-Sept-17

10.50%

01-Oct-17

31-Dec-17

10.25%

01-Jan-18

31-Mar-18

10.25%

01-Apr-18

30-Jun-18

10.00%

01-July-18

10.00%

 

The applicable profit mark-up on your finance transaction is determined as follows:

  • Murabaha

     

    The applicable profit mark-up rate, which is a function of the APM plus or minus a premium or discount (reflecting the associated credit risk), which rate is fixed for the duration of the finance term.

  • Ijarah

     

    • The applicable fixed profit mark-up rate, is the prevailing APM plus or minus a premium or discount (reflecting your associated credit risk), which rate is fixed for the duration of the lease term or;

       

    • The applicable variable profit mark-up rate is a function of the APM plus or minus a fixed premium or discount (reflecting the associated credit risk). On each anniversary of the Signature Date of your Ijarah Finance Agreement, your Profit Mark-Up may vary as a function of an increase or decrease in the APM. Irrespective of when the change in the APM occurred between each anniversary date of your Agreement, your Profit-Mark-Up will only be adjusted at each anniversary of the Signature Date of this Agreement as a function of the variance, if any, of the APM.