RESOLUTION OF BOARD OF NATIONAL BANK OF TAJIKISTAN

of November 12, 2019 No. 142

About approval of "Procedure for maintaining investment accounts of physical persons and legal entities" 070.170.000

According to requirements of part 5 of article 42 of the Law of the Republic of Tajikistan "About National Bank of Tajikistan" and parts 1 of article 4 of the Law of the Republic of Tajikistan "About Islamic banking activity" the Board of National Bank of Tajikistan decides:

1. Approve "Procedure for maintaining investment accounts of physical persons and legal entities" it (is applied).

2. In accordance with the established procedure to provide this resolution to the Ministry of Justice of the Republic of Tajikistan for state registration and to enact after state registration and official publication.

3. Authorize Department of banking supervision in case of state registration of this resolution in the Ministry of Justice of the Republic of Tajikistan if necessary to bring in the text of its appendix of change and amendment of editorial nature, not changing its content.

4. To assign execution of Item 2 of this resolution to the Secretary of Board, Department of banking supervision, Legal department and Department of the press.

5. To impose control of execution of this resolution on the vice-chairman of National Bank of Tajikistan Mashrabzod X.

Approved by the Resolution of Board of National Bank of Tajikistan of November 12, 2019, No. 142

Procedure for maintaining investment schyot of physical persons and legal entities

"The procedure for maintaining investment schyot of physical persons and legal entities" (further - the Procedure) is developed according to requirements of part 5 of article 42 of the Law of the Republic of Tajikistan "About National Bank of Tajikistan" and parts 1 of article 4 of the Law of the Republic of Tajikistan "About Islamic banking activity" for the purpose of determination of procedure for maintaining investment accounts of physical persons and legal entities in Islamic credit institutions.

Chapter I. General provisions

1. This Procedure establishes the minimum requirements which shall be observed by all Islamic credit institutions for the purpose of maintaining investment accounts of physical persons and legal entities. 

2. In this Procedure the following basic concepts are used:

- the investment account - the account by means of which the Islamic credit institution accepts money according to the principles of Islamic financing for the purpose of investment without acceptance on itself obligations of complete return of means under condition:

- distributions only arrived or profit and losses respectively between person representing money and the Islamic credit institution accepting money;

- payments or not payments of means.

Investment accounts are classified on the following types:

- unrestricted investment accounts;

- restricted investment accounts. 

- the owner of the investment account (OIA) - the client who opened the investment account in Islamic credit institution.

- reserve on investment risks - cash amount, VIS created by Islamic credit institution for the income account after charge of share of mudarib, for the purpose of providing reserve for covering of future investment losses of VIS.

- the transaction of mudarab - the bargain concluded based on the agreement under the terms of which one party - the investor - provides the capital (money) and other entrepreneur - accepts the capital and uses it using own manpower for the purpose of profit earning and its distribution between the parties according to the agreement;

- reserve of equalization of profit - the amount withheld by Islamic credit institution from the income of the transaction of mudarab before distribution of profit share of mudarib for the purpose of maintenance of certain level of profitability of investments for VIS and for increase in share of owners (shareholders);

- restricted investment accounts - type of the investment account according to which VIS give to Islamic credit institution specialized investment authority on implementation of specific target investments, investments into asset class, the sector of economy, for certain investment period or with any other restrictions and conditions;

- unrestricted investment accounts - type of the investment account according to which VIS give to Islamic credit institution authority on adoption of the final investment decision without specifying of any certain restrictions or conditions;

- the slave is al - it is small - person or the party which provides the capital according to the transaction of mudarab; 

- mudarib - person or the party which according to the transaction of mudarab using own experience invests money, with provided slave-al-small for the purpose of receipt of certain profit share;

- garar - uncertainty in the agreement or in the goods price.

Chapter II. Operating procedure with investment accounts

3. Islamic credit institutions from the moment of opening of investment accounts shall provide to the clients wishing become by VIS sufficient information and explanations. Such information and explanations are provided in writing which will be approved and acquaintance with it proves to be true from outside VIS. Such information shall include acquaintance of VIS with politicians and practicians concerning investment accounts.

4. Money in Islamic credit institution is placed based on one of the following conditions:

- use of money by Islamic credit institution shall conform to in advance determined investment standards; 

- the agreement in case of agreement signature between owners of restricted investment accounts shall be reached and Islamic credit institution.

5. Islamic credit institutions are strictly forbidden to mix means of shareholders or other means which are at their disposal, with money of owners of restricted investment accounts.

6. Owners of restricted investment accounts share profit and will bear risks concerning certain group or specific form of asset portfolio.

7. The unrestricted investment account can be included in asset pool in which the money of shareholders and deposit accounts (guaranteed by Islamic credit institution) are also invested.

8. The Islamic credit institution shall provide plenary confession and understanding of VIS of the following conditions:

- the money provided from outside to VIS which are placed on the investment account is not considered as Islamic contribution (the Islamic deposit) and respectively, the full recovery of such money from Islamic credit institution is not guaranteed;

- there are risks connected with the money placed within the investment account;

Disclaimer! This text was translated by AI translator and is not a valid juridical document. No warranty. No claim. More info