IBANK 8.8.3 Determining net cumulative maturity mismatch

An Islamic banking business firm determines its net cumulative maturity mismatch for each time-band by:

(a) determining what assets and liabilities are to be taken into account, and their maturities;
(b) assigning each asset and each liability to a time-band;
(c) adding up the values of the assets and the liabilities assigned to each time-band; and
(d) subtracting liabilities from assets in each time-band.
Inserted by QFCRA RM/2018-2 (as from 1st May 2018).