Section 13January 26, 1990, Sec./Art. 13

Investment of Funds. - The Islamic Bank shall have the capacity of agent or attorney and shall act with full authority on behalf of the group of depositors in general in investing their co-mingled deposits without prejudice to the following section and shall ensure a degree of liquidity to be determined by the Board of Directors to meet the current obligations of the Islamic Bank including drawings from savings accounts and current accounts: provided, that such degree of liquidity shall be subject to the reserve requirement as may be determined by the Central Bank.

The Board of Directors shall determine the period for an investment participation account.nvestment of funds shall be undertaken by the Islamic Bank acting on behalf of the group of depositors or investors in selected areas of investment under such terms and conditions as the Board of Directors may determine by way of mudarabah or other forms of joint investment permitted by Islamic Shari'a principle.