المستخلص: |
This study examines the role of repurchase agreements as an instrument for Banks to raise finance in the money market. Repurchase agreements relate to many legal and financial aspects, however, this study concentrate on the subject from commercial law point of view with reference to any financial issues that may arise. This study explore the instrument used as collateral securities in repurchase transactions, the role of participants in the repurchase market, and the different types of repurchase arrangements available in the market. The legal status of these agreements is discussed under Kuwaiti law and from Islamic sheria point of view. Finally, the study describes the advantages, the supplementary facilities, and the risk involved in repurchase agreements.
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