Browsing by Issue Date

Jump to a point in the index:
Showing results 1 to 20 of 1488
  • Legal_and_compliance_reform_for_Islamic_financial_benchmarking_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2022)

  • Islamic financial benchmarking is an area that requires research and needs practical solutions to advance the Islamic finance industry to a greater level. From the inception of contemporary Islamic finance, criticisms have been made about the fact that in Islamic finance, financing rates are benchmarked against conventional interest rates. To respond to these criticisms, Sharī ͑ah scholars have given justifications from Sharī ͑ah perspectives and in this regard some scholars ask: “Does consumption of beef suddenly become forbidden if its price were based on the price of pork?” (Alshubaily, 2018).

  • Islamic_ethical_wealth_and_its_strategic_solutions_to_zerohunger_scheme_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2021)

  • Islam is a comprehensive religion and a complete way of life that provides guidance not only in matters of ritual and worship but also mundane activities. Ethical principles, generally termed akhlaq, are embedded in Islam as important component of its guidance system for all dealings. Wealth in Islam is considered a trial, or a possession meant to try one's obedience to Allah (SWT). While one enjoys wealth, it is as well regarded as an endowed favour from Allah that embodies entitlements of poor and needy members of society. Appropriate disbursement of the entitlement due to the poor is an obligation that brings to light the issue of wealth as a trial, particularly on those who might ...

  • Impact_of_COVID-19_on_Islamic_social_finance_Aishath et al.pdf.jpg
  • Chapter in Book


  • Authors: M. Kabir Hassan; Aishath Muneeza; Adel M. Sarea (2021)

  • COVID-19 is considered by some as a 'black swan event', which is a pandemic that is unpredictable, unprepared for, and totally spontaneous (Gubler, 2020). This pandemic is different from four other recent pandemics the world has witnessed within the last 25 years (Gubler, 2020) as its impact has created not only a health crisis, but has led to an economic as well as human crisis brought due to a halt in all major economic activities in the world. The impact of COVID-19 on the sudden increase of poverty is uncontainable. By 12 March 2020, the World Health Organization (WHO) declared COVID-19 a pandemic, as, since December 2019, the disease had been spreading worldwide, putting the worl...

  • Funding_the_refugee_crisis_Turkey_case_for_social_impact_sukuk_Ziyaad_Shamsher.pdf.jpg
  • Chapter in Book


  • Authors: Mahomed, Ziyaad; Unal, Ibrahim Musa; Ramadili Mohd, Shamsher Mohamad. (2021)

  • The 20th century has generated a gradually intensifying refugee crisis that has amplified into an ongoing social crisis, especially since the Cold War in 1989. Civil wars, the internal conflict of countries, mass famine, and many faltering economic, political, and social institutions (US Mission to UN, Global Humanitarian Emergency 1995) contributed to this intensification. The host countries that receive these refugees bear the cost of managing the refugees at the expense of the country's economy (Mandel, 1997). Consequently, when countries face an impossible task of efficient control and maintenance of the livelihood of these refugees on a sustainable basis, they will impose restric...

  • The_importance_of_state_managing_zakat_through_digitalization_Magda.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Magda Ismail Abdel Mohsin (2021)

  • The recent statistical data of the World Bank shows that the majority of people who live in poverty are found in Muslim countries. Moreover, almost all Muslim countries have huge unsettled external debts which result from compound interest, besides the corruption which prevails in almost all Muslim countries. Some scholars relate this fact to the oppression, humiliation and bad policies that had been imposed in almost all Muslim countries during colonization and have continued up to the present time. Others related this to the incompetence and the corruption on the part of their governments which led to the last Arab spring and what followed. We cannot deny the abovementioned reasons ...

  • Pandemic_thoughts_to_assist_poor_in India_Aishath.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Aishath Muneeza (2021)

  • COVID-19 is a black swan event that has turned back the global poverty clock. Millions have lost their jobs overnight and have no way to find employment due to the lockdown measures taken to adequately deal with the pandemic and save the humankind from being extinct. The first case of COVID-19 in India was reported on 30 January 2020 and on 24 March 2020, the Prime Minister of the country announced that the country is going for full lockdown. This caused disruption in all major economic activities and led to increase in unemployment causing extreme poverty as no immediate financial helping hand was offered to them. According to the International Labor Organization (ILO), it is expecte...

  • Enhancing_zakat_distribution_with_IoT_Aishath.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Aishath Muneeza (2021)

  • The Internet of things (IoT) is described as the network of physical objects - 'things' or objects - that are embedded with sensors, software, and other technologies for the purpose of connecting and exchanging data with other devices and systems over the Internet. Today using IoT it is possible to measure the stress level and the poverty level of a household. As such, there is no reason why zakat distribution to the poor can be enhanced via linking it with IoT. The advantage of this could be that the poor who register with zakat administration authorities will have to register a single time and via the data receive from the household, the zakat administrator can determine whether the...

  • item.jpg
  • Journal Article


  • Authors: Tauhidul Islam Mustapha; Abu Umar Faruq Ahmad; Aishath Muneeza (2021)

  • This study explores the practical application of the Shariah screening process and how it could be enhanced by converging the same with the ethical screening of stocks. This study adopts a qualitative research methodology by combining the qualitative descriptive approach and content analysis. The findings of this research suggest that there is scope to converge ethical screening of stocks with Shariah Screening as the lex loci applicable to Shariah screening is derived from Shariah, which considers ethics as part of determining its rules. The data from this study reveal several practical applications, the ultimate goal of which is to help the policymakers and stakeholders understand t...

  • Islamic_fintech_financial_inclusion_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2021)

  • The modern Islamic finance as an offshoot of financial engineering is the product of permissible innovation as a manifestation of the dynamism of Islam which allows for permanence and continued relevance of Islam in any age to come. Using technology or any permissible means to bring about financial solutions in society that ease human life is an integral part of the overall objectives of Shariah. Speaking in economic terms, Sharia strives at individual prosperity as much as of the society on the ideal that prosperity of individuals that make up a society underlies the prosperity of the society. In this modern age and time, financial inclusion constitutes a fundamental component of mos...

  • Maldives_Islamic_Bank_announces_dividend_for_2020_Aishath.pdf.jpg
  • Industry Article


  • Authors: Aishath Muneeza (2021)

  • Maldives Islamic Bank has announced via a press release dated the 26th April 2021 that its board of directors, via the board resolution on the 25th April 2021, has recommended a cash dividend of MVR27.56 million (US$1.78 million) equivalent to MVR1.23 (7.94 US cents) per ordinary share for the year ended the 31st December 2020, subject to the final approval of shareholders at its forthcoming annual general meeting.

  • Zakat_in_the_stans_Ziyaad.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Ziyaad Mahomed (2021)

  • Central Asian nations have been independent for almost three decades since the collapse of the Soviet Union in 1991. Colloquially known as the 'stans', these Muslim-majority nations (more than 85% Muslim) include Kazakhstan, Uzbekistan, Kyrgyzstan, Tajikistan, and Turkmenistan with a collective population of approximately 72 million. Religious practices are slowly emerging after decades of religious censorship, with at least a generation having lived under Soviet socialism. Economically, these Central Asian countries have suffered setbacks from the COVID-19 shock, emanating from an over-reliance on commodities such as oil revenue, migrant labour, low levels of diversification and inef...

  • Zakat_women_from_receiver_to_givers_Aishath.pdf.jpg
  • Industry Article


  • Authors: Aishath Muneeza (2021)

  • Zakat is the third pillar of Islam. Zakat received from eligible persons is paid to the legal recipients of it, as mentioned in the Qu'ran (9:60). The legal recipients of zakat are of eight categories and there is no priority given to a specific gender. As long as the person falls within any category of the 'legal recipient' irrespective of gender, the person is eligible to receive zakat. Against this backdrop, this article focuses on how zakat could be used to empower women who are eligible to receive it.

  • Legal_Shariah_non_compliance risks_Nigerian_Islamic_finance_industry_review_literature_Aishath.pdf.jpg
  • Journal Article


  • Authors: Zakariya Mustapha; Sherin Kunhibava; Aishath Muneeza (2021)

  • The purpose of this paper is to review the literature on Islamic finance vis-a-vis legal and Shari'ah non-compliance risks in its transactions and judicial dispute resolution in Nigeria. This is with a view to putting forward direction for future studies on the duo of legal and Shari'ah non-compliance risks and their impact in Islamic finance. This review is designed as an exploratory study and qualitative methodology is used in examining relevant literature comprising of primary and secondary data while identifying legal risk and Shari'ah non-compliance risks of Nigeria's Islamic finance industry. Using the doctrinal approach together with content analysis, relevant Nigerian laws and...

  • Sukuk_on_blockchain_Aishath.pdf.jpg
  • Journal Article


  • Authors: Sherin Kunhibava; Zakariya Mustapha; Aishath Muneeza; Auwal Adam Sa'ad; Mohammad Ershadul Karim (2021)

  • This paper aims to explore issues arising from sukuk (Islamic bonds) on blockchain, including Shari'ah (Islamic law) and legal matters. A qualitative methodology is used in conducting this research where relevant literature on sukuk was reviewed. Through a doctrinal approach, the paper presents analyses on the practice of sukuk and sukuk on blockchain by discussing its legal, Shari'ah and regulatory issues. This culminates in a conceptual analysis of blockchain sukuk and its peculiar challenges. This paper reveals that digitizing sukuk issuance through blockchain remedies certain inefficiencies associated with sukuk transactions. Indeed, structuring sukuk on a blockchain platform can ...

  • Application_of_precious_metal-backed_cryptocurrency_Islamic_finance_aishath et al.pdf.jpg
  • Journal Article


  • Authors: M. Kabir Hassan; Aishath Muneeza; Mustapha Abubakar; Muhammad Auwalu Haruna (2021)

  • Finance industry has become an essential part of the digital transformation in the perspective of Industry 4.0. The objective of this research is to find out the prospects of applying precious metal-backed cryptocurrency (PMBC) to Islamic finance by exploring its application to the different Islamic finance contracts for structuring Islamic finance products. A qualitative methodology is employed in conducting this research where relevant literature on the subject matter was reviewed. By using doctrinal approach, the paper presents Shari'ah compatibility of and issues in application of PMBC to Islamic finance contracts. The outcome of the research reveals that there is scope to use PMB...

  • Mechanisms_to_handle_default_cases_Islamic_banking_aishath.pdf.jpg
  • Journal Article


  • Authors: M. Kabir Hassan; Aishath Muneeza; Zakariya Mustapha (2021)

  • This research investigates how Islamic banking institutions control default cases and the mechanisms they employ in handling such cases with reference to Malaysian Islamic banking regime. It was conducted on an exploratory design that employed doctrinal approach. Data were sourced from relevant statutes, regulatory guidelines, policy documents and established practices among Islamic banking institutions as well as academic texts that pertain to default cases. The data were examined with legal reasoning and qualitative analysis. The research finds that Islamic banks are prone to default cases and provide internal and external mechanisms to handle such cases in their operations. Though ...

  • covid-19_islamic_social_finance_kabir_aishath_adel.jpg.jpg
  • Book


  • Authors: M. Kabir Hassan; Aishath Muneeza; Adel M. Sarea (2021)

  • It is said that the COVID-19 pandemic has turned back the poverty clock. As such, there is a need to have social mechanisms put in place to provide relief to those who are affected in this regard. Islamic social finance consists of tools and institutions that could be used to alleviate poverty. This book explores the impact of COVID-19 on Islamic finance to better understand the effectiveness of Islamic social finance in helping those who have been affected by poverty overnight due to the halt in all major economic activities in the context of the pandemic. Since the struggle against poverty in each country will be different, the book attempts to shed light on the experiences of diffe...

  • Is_there_diversification_cost_Shariah_compliance_Obiyathulla_et al.pdf.jpg
  • Journal Article


  • Authors: Mustaffa Kamil, Nazrol Kamil; Bacha, Obiyathulla Ismath; Mohammed Masih, Abul Mansur (2021)

  • Islamic equity portfolios work with a smaller investment universe given the filtering of non Shari'ah compliant stocks. It has been theoretically argued that this culminates in suboptimal portfolio diversification, which in turn adversely affects risk-adjusted returns. We offer empirical evidence that such a conceived portfolio diversification "penalty" is far from a foregone conclusion, at least empirically. Our results tend to indicate that Islamic portfolios are not invariably handicapped in terms of portfolio diversification. We also explored dimensions that may account for differences in the relative investment performance between Islamic and conventional portfolios, such as port...

  • Competition_diversification_stability_the_Indonesia_banking_system_Baharom et al.pdf.jpg
  • Journal Article


  • Authors: Khattak, Mudeer Ahmed; Abdul Hamid, Baharom; Islam, Muhammad Umar; Ali, Mohsin (2021)

  • We examine the impact of competition and portfolio diversification on banking stability for conventional and Islamic banks in Indonesia. We find that the Islamic banking sector is less stable, when compared to the conventional banking sector. Competition in the banking sector reduces stability, while diversification enhances it. We find that competition negatively impacts the Islamic banks, but diversification has no impact on these banks. An interesting finding is that competition and diversification complement each other in enhancing the stability of the Indonesian banking sector. These findings carry an important policy implication for the banking sector of Indonesia.

Browsing by Issue Date

Jump to a point in the index:
Showing results 1 to 20 of 1488
  • Legal_and_compliance_reform_for_Islamic_financial_benchmarking_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2022)

  • Islamic financial benchmarking is an area that requires research and needs practical solutions to advance the Islamic finance industry to a greater level. From the inception of contemporary Islamic finance, criticisms have been made about the fact that in Islamic finance, financing rates are benchmarked against conventional interest rates. To respond to these criticisms, Sharī ͑ah scholars have given justifications from Sharī ͑ah perspectives and in this regard some scholars ask: “Does consumption of beef suddenly become forbidden if its price were based on the price of pork?” (Alshubaily, 2018).

  • Islamic_ethical_wealth_and_its_strategic_solutions_to_zerohunger_scheme_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2021)

  • Islam is a comprehensive religion and a complete way of life that provides guidance not only in matters of ritual and worship but also mundane activities. Ethical principles, generally termed akhlaq, are embedded in Islam as important component of its guidance system for all dealings. Wealth in Islam is considered a trial, or a possession meant to try one's obedience to Allah (SWT). While one enjoys wealth, it is as well regarded as an endowed favour from Allah that embodies entitlements of poor and needy members of society. Appropriate disbursement of the entitlement due to the poor is an obligation that brings to light the issue of wealth as a trial, particularly on those who might ...

  • Impact_of_COVID-19_on_Islamic_social_finance_Aishath et al.pdf.jpg
  • Chapter in Book


  • Authors: M. Kabir Hassan; Aishath Muneeza; Adel M. Sarea (2021)

  • COVID-19 is considered by some as a 'black swan event', which is a pandemic that is unpredictable, unprepared for, and totally spontaneous (Gubler, 2020). This pandemic is different from four other recent pandemics the world has witnessed within the last 25 years (Gubler, 2020) as its impact has created not only a health crisis, but has led to an economic as well as human crisis brought due to a halt in all major economic activities in the world. The impact of COVID-19 on the sudden increase of poverty is uncontainable. By 12 March 2020, the World Health Organization (WHO) declared COVID-19 a pandemic, as, since December 2019, the disease had been spreading worldwide, putting the worl...

  • Funding_the_refugee_crisis_Turkey_case_for_social_impact_sukuk_Ziyaad_Shamsher.pdf.jpg
  • Chapter in Book


  • Authors: Mahomed, Ziyaad; Unal, Ibrahim Musa; Ramadili Mohd, Shamsher Mohamad. (2021)

  • The 20th century has generated a gradually intensifying refugee crisis that has amplified into an ongoing social crisis, especially since the Cold War in 1989. Civil wars, the internal conflict of countries, mass famine, and many faltering economic, political, and social institutions (US Mission to UN, Global Humanitarian Emergency 1995) contributed to this intensification. The host countries that receive these refugees bear the cost of managing the refugees at the expense of the country's economy (Mandel, 1997). Consequently, when countries face an impossible task of efficient control and maintenance of the livelihood of these refugees on a sustainable basis, they will impose restric...

  • The_importance_of_state_managing_zakat_through_digitalization_Magda.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Magda Ismail Abdel Mohsin (2021)

  • The recent statistical data of the World Bank shows that the majority of people who live in poverty are found in Muslim countries. Moreover, almost all Muslim countries have huge unsettled external debts which result from compound interest, besides the corruption which prevails in almost all Muslim countries. Some scholars relate this fact to the oppression, humiliation and bad policies that had been imposed in almost all Muslim countries during colonization and have continued up to the present time. Others related this to the incompetence and the corruption on the part of their governments which led to the last Arab spring and what followed. We cannot deny the abovementioned reasons ...

  • Pandemic_thoughts_to_assist_poor_in India_Aishath.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Aishath Muneeza (2021)

  • COVID-19 is a black swan event that has turned back the global poverty clock. Millions have lost their jobs overnight and have no way to find employment due to the lockdown measures taken to adequately deal with the pandemic and save the humankind from being extinct. The first case of COVID-19 in India was reported on 30 January 2020 and on 24 March 2020, the Prime Minister of the country announced that the country is going for full lockdown. This caused disruption in all major economic activities and led to increase in unemployment causing extreme poverty as no immediate financial helping hand was offered to them. According to the International Labor Organization (ILO), it is expecte...

  • Enhancing_zakat_distribution_with_IoT_Aishath.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Aishath Muneeza (2021)

  • The Internet of things (IoT) is described as the network of physical objects - 'things' or objects - that are embedded with sensors, software, and other technologies for the purpose of connecting and exchanging data with other devices and systems over the Internet. Today using IoT it is possible to measure the stress level and the poverty level of a household. As such, there is no reason why zakat distribution to the poor can be enhanced via linking it with IoT. The advantage of this could be that the poor who register with zakat administration authorities will have to register a single time and via the data receive from the household, the zakat administrator can determine whether the...

  • item.jpg
  • Journal Article


  • Authors: Tauhidul Islam Mustapha; Abu Umar Faruq Ahmad; Aishath Muneeza (2021)

  • This study explores the practical application of the Shariah screening process and how it could be enhanced by converging the same with the ethical screening of stocks. This study adopts a qualitative research methodology by combining the qualitative descriptive approach and content analysis. The findings of this research suggest that there is scope to converge ethical screening of stocks with Shariah Screening as the lex loci applicable to Shariah screening is derived from Shariah, which considers ethics as part of determining its rules. The data from this study reveal several practical applications, the ultimate goal of which is to help the policymakers and stakeholders understand t...

  • Islamic_fintech_financial_inclusion_Aishath.pdf.jpg
  • Chapter in Book


  • Authors: Aishath Muneeza; Zakariya Mustapha (2021)

  • The modern Islamic finance as an offshoot of financial engineering is the product of permissible innovation as a manifestation of the dynamism of Islam which allows for permanence and continued relevance of Islam in any age to come. Using technology or any permissible means to bring about financial solutions in society that ease human life is an integral part of the overall objectives of Shariah. Speaking in economic terms, Sharia strives at individual prosperity as much as of the society on the ideal that prosperity of individuals that make up a society underlies the prosperity of the society. In this modern age and time, financial inclusion constitutes a fundamental component of mos...

  • Maldives_Islamic_Bank_announces_dividend_for_2020_Aishath.pdf.jpg
  • Industry Article


  • Authors: Aishath Muneeza (2021)

  • Maldives Islamic Bank has announced via a press release dated the 26th April 2021 that its board of directors, via the board resolution on the 25th April 2021, has recommended a cash dividend of MVR27.56 million (US$1.78 million) equivalent to MVR1.23 (7.94 US cents) per ordinary share for the year ended the 31st December 2020, subject to the final approval of shareholders at its forthcoming annual general meeting.

  • Zakat_in_the_stans_Ziyaad.pdf.jpg
  • Newsletter & Bulletin


  • Authors: Ziyaad Mahomed (2021)

  • Central Asian nations have been independent for almost three decades since the collapse of the Soviet Union in 1991. Colloquially known as the 'stans', these Muslim-majority nations (more than 85% Muslim) include Kazakhstan, Uzbekistan, Kyrgyzstan, Tajikistan, and Turkmenistan with a collective population of approximately 72 million. Religious practices are slowly emerging after decades of religious censorship, with at least a generation having lived under Soviet socialism. Economically, these Central Asian countries have suffered setbacks from the COVID-19 shock, emanating from an over-reliance on commodities such as oil revenue, migrant labour, low levels of diversification and inef...

  • Zakat_women_from_receiver_to_givers_Aishath.pdf.jpg
  • Industry Article


  • Authors: Aishath Muneeza (2021)

  • Zakat is the third pillar of Islam. Zakat received from eligible persons is paid to the legal recipients of it, as mentioned in the Qu'ran (9:60). The legal recipients of zakat are of eight categories and there is no priority given to a specific gender. As long as the person falls within any category of the 'legal recipient' irrespective of gender, the person is eligible to receive zakat. Against this backdrop, this article focuses on how zakat could be used to empower women who are eligible to receive it.

  • Legal_Shariah_non_compliance risks_Nigerian_Islamic_finance_industry_review_literature_Aishath.pdf.jpg
  • Journal Article


  • Authors: Zakariya Mustapha; Sherin Kunhibava; Aishath Muneeza (2021)

  • The purpose of this paper is to review the literature on Islamic finance vis-a-vis legal and Shari'ah non-compliance risks in its transactions and judicial dispute resolution in Nigeria. This is with a view to putting forward direction for future studies on the duo of legal and Shari'ah non-compliance risks and their impact in Islamic finance. This review is designed as an exploratory study and qualitative methodology is used in examining relevant literature comprising of primary and secondary data while identifying legal risk and Shari'ah non-compliance risks of Nigeria's Islamic finance industry. Using the doctrinal approach together with content analysis, relevant Nigerian laws and...

  • Sukuk_on_blockchain_Aishath.pdf.jpg
  • Journal Article


  • Authors: Sherin Kunhibava; Zakariya Mustapha; Aishath Muneeza; Auwal Adam Sa'ad; Mohammad Ershadul Karim (2021)

  • This paper aims to explore issues arising from sukuk (Islamic bonds) on blockchain, including Shari'ah (Islamic law) and legal matters. A qualitative methodology is used in conducting this research where relevant literature on sukuk was reviewed. Through a doctrinal approach, the paper presents analyses on the practice of sukuk and sukuk on blockchain by discussing its legal, Shari'ah and regulatory issues. This culminates in a conceptual analysis of blockchain sukuk and its peculiar challenges. This paper reveals that digitizing sukuk issuance through blockchain remedies certain inefficiencies associated with sukuk transactions. Indeed, structuring sukuk on a blockchain platform can ...

  • Application_of_precious_metal-backed_cryptocurrency_Islamic_finance_aishath et al.pdf.jpg
  • Journal Article


  • Authors: M. Kabir Hassan; Aishath Muneeza; Mustapha Abubakar; Muhammad Auwalu Haruna (2021)

  • Finance industry has become an essential part of the digital transformation in the perspective of Industry 4.0. The objective of this research is to find out the prospects of applying precious metal-backed cryptocurrency (PMBC) to Islamic finance by exploring its application to the different Islamic finance contracts for structuring Islamic finance products. A qualitative methodology is employed in conducting this research where relevant literature on the subject matter was reviewed. By using doctrinal approach, the paper presents Shari'ah compatibility of and issues in application of PMBC to Islamic finance contracts. The outcome of the research reveals that there is scope to use PMB...

  • Mechanisms_to_handle_default_cases_Islamic_banking_aishath.pdf.jpg
  • Journal Article


  • Authors: M. Kabir Hassan; Aishath Muneeza; Zakariya Mustapha (2021)

  • This research investigates how Islamic banking institutions control default cases and the mechanisms they employ in handling such cases with reference to Malaysian Islamic banking regime. It was conducted on an exploratory design that employed doctrinal approach. Data were sourced from relevant statutes, regulatory guidelines, policy documents and established practices among Islamic banking institutions as well as academic texts that pertain to default cases. The data were examined with legal reasoning and qualitative analysis. The research finds that Islamic banks are prone to default cases and provide internal and external mechanisms to handle such cases in their operations. Though ...

  • covid-19_islamic_social_finance_kabir_aishath_adel.jpg.jpg
  • Book


  • Authors: M. Kabir Hassan; Aishath Muneeza; Adel M. Sarea (2021)

  • It is said that the COVID-19 pandemic has turned back the poverty clock. As such, there is a need to have social mechanisms put in place to provide relief to those who are affected in this regard. Islamic social finance consists of tools and institutions that could be used to alleviate poverty. This book explores the impact of COVID-19 on Islamic finance to better understand the effectiveness of Islamic social finance in helping those who have been affected by poverty overnight due to the halt in all major economic activities in the context of the pandemic. Since the struggle against poverty in each country will be different, the book attempts to shed light on the experiences of diffe...

  • Is_there_diversification_cost_Shariah_compliance_Obiyathulla_et al.pdf.jpg
  • Journal Article


  • Authors: Mustaffa Kamil, Nazrol Kamil; Bacha, Obiyathulla Ismath; Mohammed Masih, Abul Mansur (2021)

  • Islamic equity portfolios work with a smaller investment universe given the filtering of non Shari'ah compliant stocks. It has been theoretically argued that this culminates in suboptimal portfolio diversification, which in turn adversely affects risk-adjusted returns. We offer empirical evidence that such a conceived portfolio diversification "penalty" is far from a foregone conclusion, at least empirically. Our results tend to indicate that Islamic portfolios are not invariably handicapped in terms of portfolio diversification. We also explored dimensions that may account for differences in the relative investment performance between Islamic and conventional portfolios, such as port...

  • Competition_diversification_stability_the_Indonesia_banking_system_Baharom et al.pdf.jpg
  • Journal Article


  • Authors: Khattak, Mudeer Ahmed; Abdul Hamid, Baharom; Islam, Muhammad Umar; Ali, Mohsin (2021)

  • We examine the impact of competition and portfolio diversification on banking stability for conventional and Islamic banks in Indonesia. We find that the Islamic banking sector is less stable, when compared to the conventional banking sector. Competition in the banking sector reduces stability, while diversification enhances it. We find that competition negatively impacts the Islamic banks, but diversification has no impact on these banks. An interesting finding is that competition and diversification complement each other in enhancing the stability of the Indonesian banking sector. These findings carry an important policy implication for the banking sector of Indonesia.