What is HIIC and how does it work?

HIIC stands for Habib Islamic Investment Certificate. This is a fixed deposit account and opened on “Modarabah” basis. The relation of the HIIC holder and the Bank is that of  Modarib / Rab-ul-Maal. The Bank is the Modarib and depositors are Rab-ul-Maal/Investors. Instead of fixed return, HIIC carries a pro-rata profit that is actually earned by the Bank through investments in various modes of Islamic finance.

What is the role of the Bank in the event of loss?

In the event of loss, HIIC holders or depositors of PLS accounts and the Bank bear the same in the ratio of their respective investments. Normally, in such cases, the Bank takes over the losses and compensates the depositors through its own share of profits in the pool.

What are the financing products offered by HABIBMETRO SIRAT?

Currently, HABIBMETRO Islamic Banking is providing financing facilities to its valued customers through the following products /modes which are approved by the Resident Shariah Board Member of the Bank and the State Bank of Pakistan.

  1. Murabaha
  2. Musawamah
  3. Ijarah
  4. Diminishing Musharakah
  5. Istisna
  6. Salam
  7. Al Bai

Can Hiba / premium be offered over and above the weightages announced?

Yes, the Bank sometimes offers fixed premium as HIBA (from its own share of profit) over the weightages announced with the approval of Shariah Department.

Does HABIBMETRO Islamic Banking charge penalty in case of defaults in receivables?

HABIBMETRO Islamic Banking does charge penalty to its clients in the case of defaults. The penalties, thus collected, are donated to charitable causes.

Is it possible to contact the Shariah Advisor or Shariah Department for any clarification?

Yes, you may contact Shariah Advisor at sattar.laghari@habibmetro.com for any relevant Islamic Banking/Shariah-related clarifications.