IBANK 8.8.5 Assigning assets to time-bands

(1) An asset must be assigned to a time-band according to its latest contractual maturity, except that:
(a) an undrawn committed standby facility provided by another Islamic banking business firm is to be treated as being at sight;
(b) readily marketable assets (see subrule (2)) are to be treated as being at sight; and
(c) assets that have been lodged as collateral are not to be included.
(2) An asset is readily marketable if all of the following are true:
(a) the currency in which it is denominated is freely tradeable;
(b) prices are regularly quoted for it;
(c) it is regularly traded;
(d) it can readily be monetised on a recognised exchange.
(3) On a case by case basis, the Regulatory Authority may allow an Islamic banking business firm to include, in the sight-7 calendar days time-band, a longer-term asset that is relatively easy to monetise.
Inserted by QFCRA RM/2018-2 (as from 1st May 2018).