The announcement said it has been decided that the financing provided on the basis of participatory 'Musharakah' and 'Mudaraba' and 'Wakalah' (agency) modes by the Islamic banking institutions shall be exempted from the requirement of using Karachi inter bank offer rate
(Kibor), as the benchmark rate, reported Khaleej Times.
Three months Emirates Inter Bank Offer rate
(EIBOR) has increased to 1.
He has further said that the PTA will award licence to the bid winner and thus the successful bidder will be required to deposit half of the offer price, whilst the outstanding payment must be made by a period of up to five years, including London Inter Bank Offer Rate
and 3% gain on the amount.
The scandal surrounding Barclays Bank and allegations that the London Inter Bank Offer Rate
(LIBOR) was manipulated has created a major uproar in the UK, but such incidents are not entirely new.
We are currently working with the CBB to try to set up a web page addressing the Bahrain Inter Bank Offer Rate
The key contention of those who oppose the use of the London inter bank offer rate
(libor) argue that utilising it as a reference rate for pricing Islamic instruments means that we are using a benchmark that is utilised to price money in the conventional financial markets, because libor usually represents the base rate of interest, on top of which a margin is added.
They said cut in the cost of borrowing by the central bank is a good omen for the leveraged sectors, as their earnings might improve if the current downward trend in Karachi Inter Bank Offer Rate