Repo Transactions under the Qatari Law
Type
E-journal
Date
17 May 2016
Jurisdiction
Qatar
Taxonomy
General Banking & Finance Law
Copyright
LexisNexis
Relevant company
Al Tamimi & Company
Analysis
Since the onset of the world financial crisis, financiers have been developing various methods to better secure finance. Popular in Islamic finance is the use of a Repo arrangement instead of a more traditional security arrangement (e.g. borrowing on the security of a particular asset).
Since the onset of the world financial crisis, financiers have been developing various methods to better secure finance. Popular in Islamic finance is the use of a Repo arrangement instead of a more traditional security arrangement (e.g. borrowing on the security of a particular asset). In a Repo transaction the financier purchases an asset from the borrower (seller) and grants an option to the borrower to repurchase the asset for a higher price at a future time.