Document background
The Loan With Collateral Agreement is a fundamental financing document used when a lender provides funding to a borrower with specific assets pledged as security. This agreement is particularly important in the Qatar legal framework, where secured lending must comply with both civil law principles and Islamic finance considerations. The document serves to protect the lender's interests by creating a security interest over the borrower's assets while establishing clear terms for the loan's disbursement, repayment, and enforcement. It includes detailed provisions required under Qatar law for creating and perfecting security interests, along with compliance requirements set by the Qatar Central Bank. The agreement is commonly used in commercial financing, real estate transactions, and business expansion projects where significant funding is required and assets are available for collateralization.
