NIDCs are certificates referring to money deposited with a Islamic Banking Institutions that is repayable to bearer on a specified date in the future, at the nominal value of the NIDC

It is offered under the Shariah contract of Bai Bithaman Ajil (Deferred Payment Sale) which is the sale of goods on a deferred payment basis. It is a sale contract in which the payment of the price is deferred and payable at a certain particular time in the future. It is also can be referred to as the sale and purchase transaction for the financing of an asset on a deferred and installment basis with a pre-agreed payment period

The minimum amount per transaction is MYR60, 000 in nominal value per account or per customer. For foreign currency NIDC, the nominal value shall be more than the RM60, 000 equivalent values per account or per customer

The minimum tenor is 30 days. NIDC products with investment tenor exceeding 5 years must comply with relevant regulatory requirements issued by the Securities Commissions

Features

• NIDC can be legally transferred through a depository institution and hence highly liquid
• The investment’s principal is protected under the sale contract (NIDC)