Imam Sadiq University "Islamic Finance Research" (IFR) 2251-8290 3 1 2013 10 23 Commodity Murabahah: Appropriate Tools for Interbank Market in Islamic Banking Commodity Murabahah: Appropriate Tools for Interbank Market in Islamic Banking 101 120 1650 10.30497/ifr.2013.1650 FA Sayyed Abbas Mousavian Professor of the Institute of Islamic Culture and Thought Hamzeh Mozaffari Bachelor of Arts in Islamic Education and Financial Management, Imam Sadiq University Journal Article 2013 10 09 Accordingly, this study attempts to present an effective tool based on the Securitized Commodity Murabahah and to fulfill its feasibility study. The overall structure of the tool is such that the banks with surplus funds, at first, reallocate their resources to banks in deficit by commodity Murabahah program and then convert their demands from those banks to Securitized Commodity Murabahah, and in the end offer them in the financial markets. This study, by using descriptive method and content analysis of texts of imamia fiqh through library study, shows that Commodity Murabahah program and Securitized Commodity Murabahah have the possibility to be offered and issued in the interbank market. Sometimes banks face a shortage of cash and need to be financed through banking operations. Due to adverse effects of banks' overdrafts from the Central Bank on the national economy, it seems that interbank market is an appropriate tool for financing this type of liquidity. Providing liquidity for banks by interbank market needs efficient instruments which are also in accordance with Shariah in the market. However, the prevailing monetary instruments used in conventional interbank market are interest-based tools and aren’t useable in interbank market in the non-riba banking. Accordingly, this study attempts to present an effective tool based on the Securitized Commodity Murabahah and to fulfill its feasibility study. The overall structure of the tool is such that the banks with surplus funds, at first, reallocate their resources to banks in deficit by commodity Murabahah program and then convert their demands from those banks to Securitized Commodity Murabahah, and in the end offer them in the financial markets. This study, by using descriptive method and content analysis of texts of imamia fiqh through library study, shows that Commodity Murabahah program and Securitized Commodity Murabahah have the possibility to be offered and issued in the interbank market. Sometimes banks face a shortage of cash and need to be financed through banking operations. Due to adverse effects of banks' overdrafts from the Central Bank on the national economy, it seems that interbank market is an appropriate tool for financing this type of liquidity. Providing liquidity for banks by interbank market needs efficient instruments which are also in accordance with Shariah in the market. However, the prevailing monetary instruments used in conventional interbank market are interest-based tools and aren’t useable in interbank market in the non-riba banking.

https://ifr.isu.ac.ir/article_1650_973a5f0ccbc4ee3524ccf035d35b284b.pdf