Special Loans for Doctors

Bank Refah, affiliated with the Social Security Organization, is set to dole out loans up to 8 billion rials ($209,810) to each physician. According to a statement published on the bank’s website, the loan is set to be extended in form of credit cards, Murabahah (cost-plus-profit sale) or through rent-to-own leasing contracts. Murabahah involves the purchase of a commodity by the bank on behalf of the customer, which is to be sold to the customer on a cost-plus-profit basis. Under this arrangement, the bank discloses its cost and profit margin to the customer. Loans might be used for different purposes, including purchasing medical equipment or renovation of offices. Family members of such applicants could also benefit from the loan. Doctors are required to have an account in Bank Refah. The lender is also set to provide €700 million for the construction of three large hospitals in collaboration with foreign partners and investors.