Requirements for Appling Liquidity Coverage Ratio in Banks A comparative study between an Islamic bank and a commercial bank

Abstract

The Central Bank of Iraq addressed the application of the ratio of liquidity coverage in commercial and Islamic banks, without taking into account the privacy of Islamic banks in terms of application of this ratio, and this research to clarify the difference between Islamic and commercial banks in terms of applying the ratio. The problem lies in the answer to two questions: Liquidity coverage ratio requirements are available in Islamic banks. 2) Does the application of the ratio of liquidity coverage in Islamic banks differ from that of commercial banks, and the objective of the research is to determine the requirements of the ratio of liquidity coverage, measurement of the sample banks and the measurement of differences between Islamic and commercial banks in terms of applying the ratio. The spatial boundaries in four of the Iraqi private banks The study concluded that the balance sheet items used in establishing and setting up the liquidity coverage ratio were the same for the Islamic and commercial banks. The research recommended that there be Central Bank of Iraq by adding items within the budget and the amendment to the flow in favor of Islamic banks rates.