IBANK 8.4.15 Haircuts for assets in HQLA portfolio

For calculating the value of an Islamic banking business firm's HQLA portfolio:

(a) level 1 HQLA must be valued at their market value;
(b) level 2A HQLA must be valued at 85% of their market value; and
(c) level 2B HQLA must be valued at the following percentages of their market value:
(i) sukuk and other Shari'a-compliant securities that are backed by Shari'a-compliant residential mortgages — 75%;
(ii) other level 2B HQLA referred to in rule 8.4.12 — 50%;
(iii) other assets approved by the Regulatory Authority as level 2B HQLA — the percentage that the Authority specifies.
Inserted by QFCRA RM/2018-2 (as from 1st May 2018).