An Introduction to Islamic Finance: Theory and Practice

Introduction 9 that differs in many important respects from those recommended by other schools of thought regarding how an econo ...

10 AN INTRODUCTION TO ISLAMIC FINANCE BASIC PRINCIPLES OF AN ISLAMIC FINANCIAL SYSTEM Prohibition of interest: Prohibition of ri ...

Introduction 11 By 1988, this challenge was met when academic research, using modern analytical fi nancial and economic theory, ...

12 AN INTRODUCTION TO ISLAMIC FINANCE debtor carrying the greatest part of the risk, and with governments enforc- ing the contra ...

Introduction 13 if and when it comes into being, will help reduce the risk of moral hazard and lead to a better distribution of ...

14 AN INTRODUCTION TO ISLAMIC FINANCE Siddiqi (2006: 2) recalls conducting a survey of writings on Islamic eco- nomics and banki ...

Introduction 15 (Saudi Arabia), and Ahmad al-Najjar (Egypt).^7 By 1953, Islamic economists had offered the fi rst description of ...

16 AN INTRODUCTION TO ISLAMIC FINANCE The 1980s marked the beginning of a trend of rapid growth and expansion for the emerging I ...

Introduction 17 2000s to address systemic stability and various governance and regulatory issues relating to the industry. Furth ...

18 AN INTRODUCTION TO ISLAMIC FINANCE The German Federal State of Saxony-Anhalt pioneered the sukuk in Europe with a fi ve-year ...

Introduction 19 conventional securities. As more steps are taken to develop London as a hub for Islamic fi nance, it poses serio ...

20 AN INTRODUCTION TO ISLAMIC FINANCE TABLE 1.1 Developments in modern Islamic economics and fi nance Pre-1950s Barclays Bank op ...

Introduction 21 1994 with the objective of enlarging the scope of trade transactions and the fl ow of investments among member c ...

22 AN INTRODUCTION TO ISLAMIC FINANCE TABLE 1.2 Key institutions in the Islamic fi nancial industry Acronym Organization Functio ...

Introduction 23 and strategic planning, and Islamic fi nancial products. The Arbitration and Reconciliation Centre for Islamic F ...

24 AN INTRODUCTION TO ISLAMIC FINANCE RECENT TRENDS IN ISLAMIC FINANCIAL MARKETS There is no formal or systematic source of stat ...

Introduction 25 the growth rate was high during the 2006–2007 and 2007–2008 period but there were signs of a slowdown after that ...

26 AN INTRODUCTION TO ISLAMIC FINANCE Islamic banks had considerable investments in the real-estate sector and as result of the ...

Introduction 27 Oakley, David, ‘‘Capital Takes a Leading Role,’’ FT Report—Islamic Finance, May 23, 2007, Financial Times (Lond ...

29 CHAPTER 2 The Economic System A t the core of the Islamic economic system lies a body of immutable rules, defi ned by the pri ...