Bank Nizwa, the Sultanate’s leading Islamic banking and financial solutions provider, signed an OMR 19.5mn deal for Shari’a-compliant financing facilities with Raysut Cement Company (RCC), the Sultanate’s largest cement manufacturer, according to a press release issued on Saturday.

The deal involves long-term financing worth OMR12mn with a working capital of OMR3mn for RCC’s Salalah operations and OMR4.5mn for Sohar Cement Factory’s construction and expansion.

Sheikh Khalid Abdullah Al Khalili, Chairman of Bank Nizwa, and Sheikh Abdul Hafidh Salim Al Barami, Vice Chairman of RCC signed the agreement in presence of Bank Nizwa CEO, Khalid Al Kayed, General Manager of Wholesale Banking, R. Narasimhan, and other senior officials from both the companies.

Bank Nizwa is committed to being one of the key contributors to Oman’s diversification strategy and promoting growth in both private and public sectors and will be offering RCC all Shari’a compliant services available under the bank’s portfolio, including solutions for the employees, Islamic trade finance products, vendors’ support and the entire range of treasury and cash management products, the release added.

Speaking on the sidelines of the signing ceremony, Sheikh Khalid Abdullah Al Khalili, Chairman of Bank Nizwa, said that the partnership is a clear indicator of how Islamic finance can contribute to the growth in private sector across a spectrum of industries, thus adding value to Oman’s economic diversification plans.

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He said, “Bank Nizwa aims to be the trusted partner of choice for businesses looking for a competitive alternative to conventional financing solutions. With our track record over the past six years of raising awareness over the benefits of Islamic finance, corporate customers have been increasingly exploring and utilizing Shari’a-compliant products and services.”

Sheikh Abdul Hafidh Salim Al Barami, Vice Chairman of RCC, also spoke about how Bank Nizwa and RCC are both forces to reckon with in their respective sectors and that he was confident of this partnership being mutually beneficial for both organisations. “The secured Shari’a-compliant banking facilities will set us for stronger and rapid growth and help us solidify our position as the largest cement manufacturer in the Sultanate.”