IBANK 8.2.5 Liquidity risks — ijarah

In an ijarah contract, an Islamic banking business firm may be exposed to liquidity risk because of:

(a) late payment or non-payment of instalments by the customer;
(b) the inability to sell or lease the asset to a new customer at the end of an earlier contract; or
(c) default by the customer.
Inserted by QFCRA RM/2018-2 (as from 1st May 2018).