21 Islamic financing and investing assets
Islamic financing and investing assets
2020 | 2019 | |
AED’000 | AED’000 | |
Commodity Murabaha | 74,993 | 88,492 |
Covered card and drawings | 34,575 | 49,354 |
Ijarah | 7,776 | 10,008 |
Purchase and lease back | 919 | 1,000 |
Others | 2,987 | 2,937 |
——————— | ——————— | |
Gross Islamic financing and investing assets | 121,250 | 151,791 |
Less: Allowance for impairment | (60,869) | (60,941) |
——————— | ——————— | |
Islamic financing and investing assets | 60,381 | 90,850 |
Islamic financing and investing assets are stated net of allowance for impairment. The movement in the allowance during the period/year is as follows:
2020 | 2019 | |
AED’000 | AED’000 | |
At 1 January | 60,941 | 59,741 |
Charge for the year | 1,825 | 1,200 |
Reversal no longer required (impairment charges) | (1,897) | – |
——————— | ——————— | |
At 31 December | 60,869 | 60,941 |
The Allowance for impairment includes a specific provision of AED 59.1million (2019 AED 56.8 million) for stage 3 Islamic financing and investing assets of the Group.
The gross Ijara and purchase and leaseback and the related present value of minimum Ijara and purchase and leaseback payments are as follows:
2020 | 2019 | |
AED’000 | AED’000 | |
Gross Ijara and purchase and lease-back | ||
Less than one year | 4,095 | 5,155 |
Between one and three years | 4,327 | 6,047 |
Between three and five years | 1,401 | 1,778 |
More than five years | 558 | – |
———————- | ———————- | |
Less: deferred income | 10,381 | 12,980 |
Net Ijara and purchase and lease-back | (1,686) | (1,972) |
———————- | ———————- | |
8,695 | 11,008 | |
============= | ============= |
Present value of minimum Ijara and purchase and leaseback payments
2020 | 2019 | |
AED’000 | AED’000 | |
Less than one year | 3,309 | 3,936 |
Between one and three years | 3,680 | 5,128 |
Between three and five years | 1,179 | 1,944 |
More than five years | 527 | – |
———————- | ———————- | |
8,695 | 11,008 | |
============= | ============= |