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Article (13) Shariaah Compliant Banking Services

C 29/2011 Effective from 29/3/2011

The provisions of these Regulations shall apply to Shariaah compliant banking services, except in the matter of computing interest and determining its amount, which would be done in accordance with Shariaah principles.

In such case, clarity, transparent disclosure, accuracy and documentation at all times, must all be observed, and copy of the established rates should be sent to the Central Bank for publication.

Clarifications and Guidelines (Notice No. 2901/2011)

Islamic banks will be allowed to use certain special terms applicable only to such banks, viz profit, finance, etc. However scheduled rates under different names or descriptions should be in accordance with these regulations and sent to Central Bank for information and publication.