LEGAL RISK FOR ISLAMIC BANKS IN NON-ISLAMIC JURISDICTIONS
Risk taking is the business of the bank. The risk includes both weakness of asset value as well as loss of expected income. As such the banks, be it conventional bank or Islamic bank, are in the business of taking risk. As it is said, there is no reward without risk. A successful organization turns risk threat into an opportunity by developing policies and practices which help them to mitigate, though not eliminate, the risk to a considerable extent.