The two Abu Dhabi-based banks concluded a one week maturity deal valued at $20 million against both Malaysian and Abu Dhabi government-related Islamic bonds, or sukuk, the lenders said in a statement on Tuesday.
In June, the UAE Central Bank launched a repurchase facility for Islamic certificates of deposits to provide a new liquidity tool.
Repurchase agreements, also termed repos, allow banks to grant extra funds to lend or buy assets, thereby boosting liquidity.
NBAD said in February it expects the Islamic repo market in the Middle East and North Africa (Mena) region to be worth about $2 billion.
source: Emirates 24/7