Developing Islamic liquidity management instruments : resolving the impasse between Central Bank of Nigeria (CBN) and Jaiz Bank Plc
Author
Source
International Journal of Islamic Economics and Finance Studies
Issue
Vol. 3, Issue 1 (31 Mar. 2017), pp.94-108, 15 p.
Publisher
Centre of Political Economical and Social Research
Publication Date
2017-03-31
Country of Publication
Turkey
No. of Pages
15
Main Subjects
Financial and Accounting Sciences
Islamic Studies
Topics
Abstract EN
Despite tremendous growth of Islamic finance globally, the phenomenon is relatively new in Nigeria.
The first fullfledged Islamic bank, Jaiz Bank Plc, was licensed as a regional bank by the Central Bank of Nigeria (CBN) in 2011 and it started its operations in January, 2012.
Over 3 years now, the apex regulatory body is yet to develop robust shari’ah complainant instruments for liquidity management of Islamic banks in Nigeria.
This paper assesses the predicaments of Jaiz bank Plc over the last 3 years of its operations in the face of this challenge on the basis of secondary data from the financial statements of the Bank.
Evidences on the basis of CAMEL analysis show that while the Bank performs quite well in respect to capital adequacy, assets and management quality, the Bank, however, suffers most, on average, with respect to earning quality and liquidity.
The paper recommends that the CBN should, while the shari’ah compliant instruments are being awaited, introduce a measure of deposit-free and loan-free for Jaiz Bank plc and consider lowering the statutory liquidity ratio, all with a view of easing financial constraints of the Bank.
American Psychological Association (APA)
Aliyu, Shehu U. R.. 2017. Developing Islamic liquidity management instruments : resolving the impasse between Central Bank of Nigeria (CBN) and Jaiz Bank Plc. International Journal of Islamic Economics and Finance Studies،Vol. 3, no. 1, pp.94-108.
https://search.emarefa.net/detail/BIM-788548
Modern Language Association (MLA)
Aliyu, Shehu U. R.. Developing Islamic liquidity management instruments : resolving the impasse between Central Bank of Nigeria (CBN) and Jaiz Bank Plc. International Journal of Islamic Economics and Finance Studies Vol. 3, no. 1 (Mar. 2017), pp.94-108.
https://search.emarefa.net/detail/BIM-788548
American Medical Association (AMA)
Aliyu, Shehu U. R.. Developing Islamic liquidity management instruments : resolving the impasse between Central Bank of Nigeria (CBN) and Jaiz Bank Plc. International Journal of Islamic Economics and Finance Studies. 2017. Vol. 3, no. 1, pp.94-108.
https://search.emarefa.net/detail/BIM-788548
Data Type
Journal Articles
Language
English
Notes
Includes appendices : p. 108
Record ID
BIM-788548