State of Liquidity Management in Islamic Financial Institutions
36 Pages Posted: 9 Apr 2018
Date Written: June 1, 2013
Liquidity position and liquidity risk of Islamic financial institutions has been changing over time. Using three measures of liquidity this paper analyses the state of liquidity and the risk management practices of Islamic banks across countries and regions and compares them with conventional banks. It calls for creating new instruments and infrastructure for liquidity risk management and proposes fresh approaches to manage this risk.
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