LOLC Al-Falaah has launched “Al-Falaah Tawarruq for Personal Finance”, introducing Sri Lanka’s first structured Tawarruq based Islamic liquidity solution and marking a significant milestone in the country’s Islamic finance sector.
Developed to meet the growing demand for ethical and Shariah compliant financial solutions, the new offering provides customers with a transparent and structured pathway to access liquidity while remaining aligned with Islamic financial principles. The facility is designed to support a broad range of personal and business requirements, including education, healthcare, business expansion and other essential financial commitments.
Tawarruq is a globally recognised Islamic finance structure that enables customers to obtain liquidity through a series of asset based transactions. Under the arrangement, a commodity is purchased under a Murabaha agreement on deferred payment terms before being sold to a third party for immediate cash, ensuring compliance with Islamic economic principles.
LOLC Al-Falaah manages the entire transaction process as the appointed agent, facilitating the purchase, sale and resale of commodities to ensure efficiency, transparency and adherence to Shariah principles.
Commenting on the launch, Shiraz Refai, Head of Alternate Financial Services at LOLC Al-Falaah, said the new solution demonstrates the organisation’s commitment to delivering customer centric, future ready financial solutions that combine transparency, convenience and ethical responsibility while empowering customers to achieve their aspirations.
Representing the Scholar Supervisory Board, Ash Shaikh Shafique A. Jakhura noted that the solution highlights the adaptability of Islamic finance in addressing modern liquidity requirements while remaining firmly rooted in its foundational principles of fairness, transparency and authenticity.
The launch further strengthens LOLC Al-Falaah’s contribution to financial inclusion, product innovation and the continued development of Sri Lanka’s alternate financial services sector.
