PIB2023 CHAPTER 1

What is the function of a financial intermediary?

• Facilitate efficient financial intermediation

• Stimulate economic growth and development

• Ensure stable payment system

• All of the above

What is the key difference between conventional banks and Islamic banks?

• Conventional banks operate solely on weekdays, while Islamic banks conduct transactions exclusively on weekends.

• Conventional banks requiring formal suits and Islamic banks enforcing a uniform of Hawaiian shirts and flip-flops.

• Islamic banks have a policy of conducting meetings in a secret language known only to bank staff, while conventional banks communicate openly in standard business jargon.

• Islamic banks receive profits instead of interest

What is the role of the Central Bank of Malaysia?

• All of the above

• To influence the credit situation to the advantage of the country

• To promote monetary stability and a sound financial structure

• To issue currency and keep reserves safeguarding the value of the currency

What is the purpose of a Wadiah account in Islamic banking?

• To give hibah (gift) to their customers

• Safekeeping arrangement where a person deposits money with another party, and the party agrees to safeguard and protect the deposited funds

• To act as a partnership between capital owner and entrepreneur to do business

• To release any withdrawals made by the customer itself or by the third party through cheques payments

What is the function of a tawarruq account in Islamic banking?

• To share profits based on the agreed pre-determined profit sharing ratio

• To act as a banker and financial adviser to the Government

• To buy and sell protection against event risks as well as financial risks

• To determine profit gain through commodity transaction

What is the main principle of Islamic bank operations?

• Practice mutual risk and profit sharing

• Operate based on the principle of Islamic law

• Ensure fairness and transparency for all transactions

• All of the above

What is the role of Islamic banks as efficient financial intermediaries?

• All of the above

• To have a well-developed market for risk trading

• To offer competent and solid money and capital market

• To help in the reduction of information and provisional costs

Which one is NOT the role of the financial system?

• Reduction of information and provisional cost

• Offers efficient and liquid money and capital markets

• Stimulate economic growth and development

• Facilitate efficient financial intermediation

What is the purpose of a non-transaction or savings deposit in Islamic banking?

• For customers to determine profit gain through commodity murabahah transaction

• For customers to receive profits instead of interest

• For customers to act as a partnership between capital owner and entrepreneur to do business

• For customers that have excess fund to keep

What is the function of a Mudarabah account in Islamic banking?

• To act as a partnership between capital owner and entrepreneur to do business

• To safe-keep the money for daily expenses and future expenditures

• To release any withdrawals made by the customer itself or by the third party through cheques payments

• To determine profit gain through commodity murabahah transaction