Bank Negara Malaysia Issues Hajah and Darurah Exposure Draft

The Central Bank of Malaysia, Bank Negara Malaysia (BNM), has announced the release of an exposure draft of its policy document on Hajah (Need) and Darurah (Dire Necessity) on the 15th of December 2022. The document outlines BNM's proposed Shariah and operational requirements, as well as its expectations for the application of Hajah and Darurah by Islamic financial institutions in the course of conducting Islamic banking and Takaful business.

Why it Matters?

The policy document, among other things, specifies the parameters for the application of exceptional rules for Hajah and Darurah, clarifies and strengthens the accountability of those responsible for assessing, deducing, and implementing Hajah and Darurah, and provides operational guidelines to faci...