Islamic Interbank Money Market In Bangladesh

Bank negara malaysia introduced iimm as an integral to the functioning of the islamic banking system on january 3 1994.

Islamic interbank money market in bangladesh. Pdf on may 1 2013 saleh md. Islamic capital market money market instruments in bangladesh. Fariduddin ahmed advisor export import bank of bangladesh limited former managing director. Iimm has been following the sha riah principle as a guideline in order to facilitate mobilisation of liquidity.

A literature review find read and cite all the research you need on researchgate. Interbank call market and forex market. Volatility in these two markets was tamed through repo operation and intervention by the bangladesh bank. Bangladesh has launched an islamic interbank money market aiming to help sharia compliant banks manage their short term funding.

Islamic interbank rate rate of return commercial banks investment banks mudharabah interbank investment overnight mudharabah volume 1 week volume 1 month volume 3 month monthly volume mudharabah. Money market 6 2 money market the important segment of financial market that basically channelizes the short term fund in the country was quite active and vibrant with the participation of both banks. This problem was addressed in 2011 when the central bank launched an islamic interbank money market but the dominant share of ibbl limits the market s efficiency the report said. The scope of activities of the iimm include the purchase.

Other major issues come from the absence of an interbank islamic money market following the same policy and guidelines for islamic and conventional banking by the bangladesh bank presence of a discriminatory legal reserve requirement for islamic and conventional banking prevalence of a restrictive environment in the capital market and the lack of legal support and protection of bangladesh. Islamic money market islamic money market is known as islamic interbank money market iimm in malaysia. Through the iimm the islamic banks and banks participating in the islamic banking scheme ibs would be able to match the funding requirements effectively and efficiently. The issue was discussed at a meeting with chief executive officers and managing directors of seven islamic banks at the.