BHBFC inaugurates Islamic finance to rural housing

Bangladesh House Building Finance Corporation (BHBFC) recently launched the second phase of the "Rural and Peri-Urban Housing Finance Project" at the InterContinental Dhaka.

The project is expected to be completed by fiscal year 2028-29.

Finance Adviser Salehuddin Ahmed inaugurated the project as the chief guest, the corporation said in a press release.

The BHBFC recently signed an agreement with IsDB in Jeddah, Saudi Arabia under which the BHBFC secured a funding equivalent to 270 million euros (Tk 3,171 crore).

Of this amount, 67 million euros have already been disbursed to the BHBFC.

The finance adviser expressed his gratitude to the authorities of BHBFC and IsDB for taking the initiative to provide Shariah-compliant investment in rural and peri-urban areas for housing construction.

Salehuddin emphasised the importance of reducing the rural-to-urban migration trend by narrowing the gap between villages and cities.

He urged the relevant stakeholders to take initiatives to ensure balanced development of the country by enhancing civic amenities in rural areas alongside urban centres.

The BHBFC's Shariah-based housing investment project is funded by the Islamic Development Bank (IsDB), an international development partner.

The first phase of the project, which began in the FY 2018-19, was successfully completed and the second phase officially commenced with this inaugural event.

ASM Abdul Halim, former cabinet secretary and chairman of BHBFC, presided over the event.

Md Abdul Mannan, managing director of BHBFC, Mohammad Nassis bin Sulaiman, regional manager of IsDB, Khairuzzaman Mozumder, secretary to the finance division, Nazma Mobarek, secretary to the Financial Institutions Division, and Md Shahriar Kader Siddiky, secretary to the Economic Relations Division, were present.

Prof Mohammad Abdus Samad, chairman of the Shariah Supervisory Committee of the BHBFC, and Abu Sandy Bockarie, operations team leader for economic infrastructure at IsDB, along with senior officials from the ministry of finance and BHBFC were also present.