Search results for: islamic & conventional banks

Authors: Hakam Junus, Natassha Chrysanti

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The international relations theory currently is dominated by the western theoretical perspectives. Although the western theories are often used by many scholars as the universal perspective to explain the phenomena that occur in the world, sometimes the existing theories are failed to explain various issues that occur in the non-western world, for example, in the studies concerning on terrorism issues. Using inappropriate theories to explain the international issues such as terrorism will cause a failure in the decision-making process. The lack of understanding regarding Islamic perspective could be one of the factors that make international society unable to eradicate violent terrorism in the name of religion. Thus, this paper is argued that considering Islamic perspective as one of the major studies in international relations is significant to build a bridge between the Islamic world and the western world. It is believed that enhancing the study of Islamic perspective will create better understanding of the Islamic world and will enrich the study of international relations. This paper is conducted through a qualitative approach, in which data is obtained from the literature analysis. Considering Islamic perspective is important because Islam is listed as one of the major religions in the world. It is also due to the geopolitical spread of the Muslim in the world and the likelihood of the Islamic perspective to shape and influence Muslim’s behavior in the international level. The study of Islamic perspective in the international level is neither to contempt nor to oppose the existing western theories; rather it is needed in order to broaden the perspective in the international relations studies. The Islamic perspective is different compared to the non-western school of thought such as realism, and liberalism in some respects. The Islamic perspective cannot be explained through the lens of rationalist approaches. Compares to the post-positivism international relations perspectives, Islamic perspective is probably closer to the constructivist school of thought. However, the Islamic perspective offers some uniqueness that is not limited to the socially constructed ideas as in the constructivist arguments. This paper will be developed according to the discussion of three aspects that make Islamic perspective different with the existing international relations theories. The first aspect is the main actors in the international level. The second aspect is regarding on what appears to be the most important point for the actors in the international relations. The third aspect is regarding the pattern of relationship between the actors in the international level. In addition, this paper will briefly discuss the perspective of Islam in economics compare to the existing theories in the realm of international political economy.

Keywords: international relations, Islam, non-western theories, societies

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Authors: Qamar Ul Haq, Talat Hussain, Mufti Fahad Ahmed Qureshi

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From the Islamic perspective, managing human resource meets various challenges, especially in the modern organizations. The adoption of Western practices in various aspects of management have caused gaps in justice, trustworthy, responsibility and other values of workers in Muslim countries. Thus, the interference of Islamic principles in human resource management (HRM) can be considered as a great solution for treating employees fairly and justly. This research aims to examine the level of Islamic practices in HRM, in which includes recruitment and selection, training and development, career development, performance management and rewards. The paper will analyze the relationships between HRM practices and organizational justice which focus on three elements, which are distributive justice, procedure justice and interactional justice. The data will be collected from selected Malaysian Government-Linked Company (GLC). Convenience sampling will be used to select the respondents for completing questionnaires. This conceptual paper essentially provides organizations with effective ways of understanding and implementing HRM by using Islamic principles. It also can be used as guidance for decision-making and day-today HR activities and will help organization to face uncertainties in the business world as well.

Keywords: human resource management, organizational justice, Islam, Islamic banking

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Authors: Ilhan Keskin, Hasan Bulent Kantarci

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In this study, one of the tools of Islamic financing known as “Sukuk” a non-interest bearing investment which has started to be implemented in Turkey and the world as a whole is discussed. In order to increase the vitality and efficiency of the economy, by taking lessons from the recent economic crisis new developments in the banking and investment sector are being expanded. The purpose of all investors is to obtain more revenue through the use of capital. The inability of traditional investment tools to meet the expectations of investors and the interest based financial system where one investor benefits at the expense of another there has been the need for a different, reliable and non-interest bearing financial market that is consistent with the Islamic rule. As a result an alternative and more reliable interest free financing tool “Sukuk” rental certificates covering people who are sensitive to Islamic rules, appeal to all segments, hidden remaining capital that contributes to the economy, reduce disparities in income distribution, common risk sharing system of profit and loss sharing has emerged. Today, for the structural countries by examining the state of the world market economy the applicability, enactment and future issues associated with this attractive kind of Islamic finance namely the “Sukuk” market has been explained.

Keywords: Islamic finance, islamic markets, non-interest bearing, rental certificates

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Authors: Gerhard Grebe, Johan Marx

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The aim of the study is to assess the state of operational risk management and the adoption of an appropriate risk culture in Ghanaian banks. The Bank of Ghana (BoG) joined the Basel Consultative Group (BCG) of the Basel Committee on Bank Supervision (BCBS) in 2021 and is proceeding with the implementation of the Basel III international regulatory framework for banks. The BoG’s Directive about risk management encourages, inter alia, the creation of an appropriate risk culture by Ghanaian banks. However, it is not evident how the risk management staff of Ghanaian banks experience the risk culture and the implementation of operational risk management in the banks where they are employed. Ghana is a developing economy, and it is addressing challenges with its organisational culture. According to Transparency International, successive Ghanaian governments claim to be fighting corruption, but little success has been achieved so far. This points to a possible lack of accountability, transparency, and integrity in the environment in which Ghanaian banks operate and which could influence their risk culture negatively. Purposive sampling was used for the survey, and the questionnaire was completed byGhanaian bank personnel who specializesin operational risk management, risk governance, and compliance, bank supervision, risk analyses, as well as the implementation of the operational risk management requirements of the Basel regulatory frameworks. The respondents indicated that they are fostering a risk culture and implementing monitoring and reporting procedures; the three lines of defence (3LOD); compliance; internal auditing; disclosure of operational risk information; and receiving guidance from the bank supervisor in an attempt to improve their operational risk management practices. However, the respondents reported the following challenges with staff members who are not inside the risk management departments(in order of priority), namelydemonstrating a risk culture, training and development; communication; reporting and disclosure; roles and responsibilities; performance appraisal; and technological and environmental barriers. Recommendations to address these challenges are provided

Keywords: ghana, operational risk, risk culture, risk management

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Authors: Mohammad Enayet Hossain, Nur Farhah Mahadi

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The global COVID-19 pandemic has contaminated millions of people at a startling rate. The COVID-19 pandemic came out of mediocre and has since spread all over the world, causing to record 5 million deaths worldwide in just a few months. The economic crisis has triggered a global contraction, leading to an economic collapse expected over 2020-2021. This study examines whether Islamic social finance can effectively mitigate the dangers of humanitarian catastrophes. The study provides a multirange method for maximizing the advantage of Islamic social financings tools such as zakat and waqf. The information, documents, and data for this study are gathered using a qualitative method. The study employed ongoing research, literature review, news stories, reports, and trusted online sources. Eventually, this may add to knowledge by examining the role of Islamic social finance in the current Covid-19 crisis. The findings have consequences for governments and policymakers who want to solve the COVID-19 problem with Islamic social finance ideas and solutions, thereby enhancing people's social well-being and the global economy's development.

Keywords: covid-19 pandemic, Islamic social finance, zakat, waqf

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Authors: Amira Khelil, Habib Affes

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Organization resource planning implementation success is important. Today`s competitors in business, in enterprise resource planning and in managing are becoming one of the main tools of achieving competitiveness in business. Resource technologies are considered as an infrastructure to create and maintain business to improve front and back-office efficiency and effectiveness. This study is significant to bring new ideas in determining the key antecedents which are technological resource planning implementation based on knowledge capacity perspectives and help to understand the key success factor in the Tunisian banks. Based on a survey of 150 front office Tunisian agents working in Tunisian banks with mixed capital, using Groupware system, only 51 respondents had given feedback to this survey. By using Warp PLS 3.0, through several tests the relationship between knowledge capability and Groupware implementation success having beta coefficient 0.37 and P-Value <0.01. This result highlights that knowledge capability of bank agent can influence the success of the Groupware implementation.

Keywords: groupware implementation, knowledge capacity, partial least squares method, Tunisian banks

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Authors: Mohamed Almagsoudi

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The aim of this paper is to deal with two issues. One of them is about the theoretical side of codification, and the other is related to the practical side. At first, I have tried to criticize the debate running about codification of Islamic and Saudi Law, through observing and analyzing views of opponents and advocates. I tried to prove a hypothesis that both parties could not completely succeed in reviewing the theoretical base of this topic where discussion would not deal with irrelevant matters. It is a crucial shortcoming that made advocates unable to answer the critical questions addressed by those opponents.

Keywords: Codification, Saudi Law, Islamic law, Sharia

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Authors: Alireza Tavakoli Nia

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In order to understand the role of the injured party's fault in dividing liability, we studied its historical background. In common law, the traditional contributory negligence rule was a complete defense. Then the legislature and judicial procedure modified that rule to one of apportionment. In Islamic law, too, the Action rule was at first used when the injured party was the sole cause, but jurists expanded the scope of this rule, so this rule was used in cases where both the injured party's fault and that of the other party are involved. There are some popular approaches for apportionment of damages. Some common law countries like Britain had chosen ‘the causal potency approach’ and ‘fixed apportionment’. Islamic countries like Iran have chosen both ‘the relative blameworthiness’ and ‘equal apportionment’ approaches. The article concludes that both common law and Islamic law believe in the division of responsibility between a wrongdoer claimant and the defendant. In contrast, in the apportionment of responsibility, Islamic law mostly believes in equal apportionment that is way easier and saves time and money, but common law legal systems have chosen the causal potency approach, which is more complicated than the rival approach but is fairer.

Keywords: contributory negligence, tort law, damage apportionment, common law, Islamic law

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Authors: Meysam Doaei, Mojtaba Kavand

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WAQF as a part of Islamic social security system is developed in Islam. Traditional WAQF has some limitations which are resolved in WAQF Sukuk. In regard to acceptability of Islamic finance in the world, WAQF Sukuk also has been developing in Islamic countries. In this paper, concept of WAQF, traditional and modern WAQF financing are presented. Then, WAQF Sukuk, its application and its model in Iran are developed.

Keywords: Al-mawqūfat development, traditional financing, modern financing, WAQF Sukuk

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Authors: Jamaludin Tarkim, Yoga Teguh Guntara, Maftuhah

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Islamic leadership style is model of leadership style applied by the Prophet Muhammad SAW. Islamic leadership style is applied, namely Syura (deliberation), ‘Adl bil qisth (justice, with equality), and Hurriyyah al-kalam (freedom of expression) and along with the values of Islam in the Islamic leadership style. This research aims to gain an overview of the experience of Head Nurse in the implementation of Islamic leadership style. This research is a qualitative one with descriptive phenomenology design through in-depth interviews. Participants were occupied as Head Nurse at the Hospital room Syarif Hidayatullah, set directly (purposive) with the principle of suitability (appropriateness) and sufficiency (adequacy). Retrieval of data and research conducted during the month of June 2014. Data collected in the form of recording in-depth interviews and analysis with Collazi method. This research identified four themes Syura (deliberation);‘Adl bil qisth (justice, with equality); Hurriyyah al-kalam (freedom of expression) and along with the values of Islam in the Islamic leadership style. The results of this research can provide a review of the Head Room experience in the application of Islamic leadership style at Syarif Hidayatullah Hospital already skilled leadership during the process, but the application is still not maximized. Required further research on in-depth exploration of how to get more comprehensive results from room Head Nurse experience in the application of Islamic leadership style, as well as subsequent researchers can choose a wider scope and complex so get more complete data.

Keywords: experience, Islamic leadership style, head nurse, nursing management

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Authors: Md. Arifur Rahman, Ummya Salma, Nazrul Islam

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Private sector banking business is one of the leading businesses of Bangladesh as it is profitable and directly attached with the economic development of the country. Training has got very high importance in this sector for increasing the performance of the banks. It has a long term impact on a number of aspects of the bank employees and their performances. It is an investment of the organization that is permanent in nature. Study shows that there are positive relationships between training and the employee commitment, job retention, job satisfaction and company performance. Training is also concerned with promotion, compensation, work-life policies, career development, task and contextual performance of the employees. As such, this paper aims at identifying the impact of training on employee commitment, job retention, job satisfaction and the performance of the private sector banks in Bangladesh. Both primary and secondary data were used to conduct the study. Data were collected from the bank officers who were trained in their banks. Both descriptive and inferential statistics were used to analyze the data. Descriptive statistics were used to describe the present situation of the banks and their employees. Inferential statistics were used to identify the factors and their significance concerned with training. Results show that there is a significant relationship between the performance and the training of the employees. It also shows that the training can motivate employees and encourage them to work hard. However, this study did not find any relationship between the commitment of the employees and the training. This study suggests that for increasing the performance of the banks, training is a must which is to be given deliberately for improving the specific skills of the bank employees.

Keywords: training, promotion, compensation, work-life policies

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Authors: Abul Hassan

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Present socio-economic context and women wellbeing in Bangladesh imposes lots of constraints on women’s involvement in income generating activities. Different studies showed that the implementation of World Bank structural adjustment policies have had mixed impacts on women and their wellbeing. By involving poor people specially women in Islamic microfinance programmes in Bangladesh are used as a tool to combat poverty. Women are specifically targeted by Islamic microfinance under the rural development scheme of Islami Bank Bangladesh that provide interest free loan to the women groups. The programme has a multiplier effect since women invest largely in their households. The aim of this research is twofold: firstly, it wanted to confirm or refute a positive link between Islamic microfinance and the socio-economic wellbeing of women in Bangladesh and secondly, to explore the context in which Islamic microfinance programs function in Bangladesh and the way their performance can be improved. Based on structured questionnaires’ survey, this study addressed two research questions: (1) What can be expected from the offer of Islamic microfinance on the welfare of recipients and (2) Under what conditions would such an offer be more beneficial. The main result of this study shows that increase in women’s income and assets played a very important role in enhancing women’s economic independence and sense of self-confidence. An important policy recommendation is that it is necessary to redirect Islamic microfinance towards diversified developmental activities that will contribute to the improvement, in the long run, of the wellbeing of the recipients.

Keywords: business model, Islamic microfinance, women’s wellbeing

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Authors: Mehdi Beyad

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Muhammad Abduh stands as a founding thinker of Islamic revivalism and modernism, the political phenomenon which began with him and Jamal al-Din al-Afghani in the 19th century which sought to address the perceived regression of Islamic societies in the face of western colonialism and the onslaught of modernity. The scholarship on Abduh and al-Afghani, and Islamic modernism in general, is vast. This paper, however, provides a critical approach to some of this scholarship and attempts to re-think the epistemic framework of Abduh's political thought and the place of Islam therein. Much of the current work on Abduh falls into the trap of seeing his task as one of "compromising" Islam for the values of European modernity. This paper argues that for Abduh, Islam was not just a compartmentalised theological framework: it was at the nexus of societal emancipation, intellectual and cultural rejuvenation, and political progress. Far from “modernising” and diluting Islam to the extent that it became irrelevant in the face of rationality as defined by European modernity, Islam remained central to Abduh’s political framework.

Keywords: Islamic political thought, Islamic revivalism, modernism, Muhammad Abduh, epistemology

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Authors: Azlin Suzana Salim

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The 12th Malaysian Plan 2021-2025, issued by the Economic Planning Unit in 2021, outlined one of the six important priorities to support M40 towards equitable society. The Financial Sector Blueprint 2022-2026, released by Bank Negara Malaysia in 2022, further outlined the fifth key thrust focusing on Islamic Social Finance. The purpose of this research is to examine the Legal Framework of bridging Islamic Social Finance to support M40 Income Group in Malaysia. This study adopts a doctrinal legal research method to examine the laws and regulations governing Islamic Social Finance in Malaysia and a qualitative method to examine the Islamic Social Finance Instrument to support the M40 income group. The implication of this study is important to propose the legal framework and bridge the Islamic Social Finance instrument to support the M40 income group in Malaysia. The significance of this study is to realign between priorities of the 12th Malaysian Plan 2021-2025 and the Financial Sector Blueprint 2022-2026.

Keywords: legal framework, Islamic social finance, m40 income group, law and regulation

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Authors: Waseem Makai

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The term ‘political Islam’ now seem to have gained the centre stage in every discourse pertaining to Islamic legitimacy and compatibility in modern civilisations. A never ceasing tradition of the philosophy of caliphate that has kept overriding the options of any alternate political institution in the Muslim world still permeates a huge faction of believers. Fully accustomed with the proliferation of changes and developments in individual, social and natural dispositions of the world, Islamic theologians retaliated to this flux through both conventional and modernist approaches. The so-called conventional approach was quintessential of the interpretations put forth by Syed Maududi, with new comprehensive, academic and powerful vigour, as never seen before. He generated the avant-garde scholarship which would bear testimony to his statements, made to uphold the political institution of Islam as supreme and noble. However, it was not his trait to challenge the established views but to codify them in such a bracket which a man of the 20th century would find captivating to his heart and satisfactory to his rationale. The delicate microcosms like selection of a caliph, implementation of Islamic commandments (Sharia), interest free banking sectors, imposing tax (Jazyah) on non-believers, waging the holy crusade (Jihad) for the expansion of Islamic boundaries, stoning for committing adulteration and capital punishment for apostates were all there in his scholarship which he spent whole of his life defending in the best possible manner. What and where did he went wrong with all this, was supposedly to be notified later, by his once been disciple, Javed Ahmad Ghamidi. Ghamidi is being accused of struggling between Scylla and Charybdis as he tries to remain steadfast to his basic Islamic tenets while modernising their interpretations to bring them in harmony with the Western ideals of democracy and liberty. His blatant acknowledgement of putting democracy at a high pedestal, calling the implementation of Sharia a non-mandatory task and denial to bracket people in the categories of Zimmi and Kaafir fully vindicates his stance against conventional narratives like that of Syed Maududi. Ghamidi goes to the extent of attributing current forms of radicalism and extremism, as exemplified in the operations of organisations like ISIS in Iraq and Syria and Tehreek-e-Taliban in Pakistan, to such a version of political Islam as upheld not only by Syed Maududi but by other prominent theologians like Ibn-Timyah, Syed Qutub and Dr. Israr Ahmad also. Ghamidi is wretched, in a way that his allegedly insubstantial claims gained him enough hostilities to leave his homeland when two of his close allies were brutally murdered. Syed Maududi and Javed Ghamidi, both stand poles apart in their understanding of Islam and its political domain. Who has the appropriate methodology, scholarship and execution in his mode of comprehension, is an intriguing task, worth carrying out in detail.

Keywords: caliphate, democracy, ghamidi, maududi

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Authors: Seba Mohanty, Jitendra Mahakud

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Capital ratio is one of the major indicators of the stability of the commercial banks. Pertinent to its pervasive importance, over the years the regulators, policy makers focus on the maintenance of the particular level of capital ratio to minimize the solvency and liquidation risk. In this context, it is very much important to identify the relationship between capital and risk and find out the factors which determine the capital ratios of commercial banks. The study examines the relationship between capital and risk of the commercial banks operating in India. Other bank specific variables like bank size, deposit, profitability, non-performing assets, bank liquidity, net interest margin, loan loss reserves, deposits variability and regulatory pressure are also considered for the analysis. The period of study is 1997-2015 i.e. the period of post liberalization. To identify the impact of financial crisis and implementation of Basel II on capital ratio, we have divided the whole period into two sub-periods i.e. 1997-2008 and 2008-2015. This study considers all the three types of commercial banks, i.e. public sector, the private sector and foreign banks, which have continuous data for the whole period. The main sources of data are Prowess data base maintained by centre for monitoring Indian economy (CMIE) and Reserve Bank of India publications. We use simultaneous equation model and more specifically Two Stage Least Square method to find out the relationship between capital and risk. From the econometric analysis, we find that capital and risk affect each other simultaneously, and this is consistent across the time period and across the type of banks. Moreover, regulation has a positive significant impact on the ratio of capital to risk-weighted assets, but no significant impact on the banks risk taking behaviour. Our empirical findings also suggest that size has a negative impact on capital and risk, indicating that larger banks increase their capital less than the other banks supported by the too-big-to-fail hypothesis. This study contributes to the existing body of literature by predicting a strong relationship between capital and risk in an emerging economy, where banking sector plays a majority role for financial development. Further this study may be considered as a primary study to find out the macro economic factors which affecting risk and capital in India.

Keywords: capital, commercial bank, risk, simultaneous equation model

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Authors: Bo Hyun Kim, Sarng Woo Karng

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In constructing a hydrogen refueling station, minimizing the volume and reducing the number of banks enable lessening the construction cost. This study aims at performing the dynamic simulation on 250 kg/day of a refueling station for light-duty vehicles. The primary compressor boosts hydrogen from a tube trailer of 250 to 480 bar and stores it in a medium-pressure bank. Then, additional compression of hydrogen from 480 to 900 bar is carried out and stored in a high-pressure bank. Economic analysis was conducted considering the amount of electricity consumed by compression corresponding to the volume and the number of banks (cascade system) in charging mode. NIST REFPROP was selected as the equation of state on the ASPEN HYSYS for thermodynamic analysis of the tube-trailer, the compressors, the chillers, and the banks. Compared to a single high-pressure bank system of 3000 L, the volume of the cascade high-pressure banks (bank1: 250 L and bank 2: 1850 L) was reduced by 30%, and the power consumption of the chiller for precooling was also decreased by 16%.

Keywords: light-duty vehicles, economic analysis, cascade system, hydrogen refueling station

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Authors: Zahra Yaghoubi

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One of the initial occurrences that, according to observations of those who have temporarily experienced death, arises is encountering beings or individuals possessing supernatural powers. For some, these beings are described as beautiful and radiant, while for others, they are portrayed as dark and terrifying. In some experiences, they are mentioned as young and beautiful individuals. Islamic religious sources refer to these beings as angels or celestial beings assigned by God to take and collect human souls. This research, conducted through library methods, examines and justifies the initial stage of observations from an Islamic perspective based on first and second-hand religious sources. It relies on evidence, observations, and oral narratives of near-death experiencers, as well as interviews published in television programs. The goal is to investigate Islamic sources and validate the presence of angels in near-death experiences. The use of visual interview reports direct reliance on the narrative rather than the written text by someone other than the experiencer, is among the main criteria for enhancing transparency and authenticity in conveying the individual's experiences.

Keywords: angel, angels of death, Islamic sources, near-death experiences, death, soul

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Authors: Muhammad Ilham Agus Salim, Saufa Ata Taqiyya

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In many Muslim countries, secularization has successfully reduced the role of Islamic law as a formal legal source during this last century. The most obvious fact was the reform of Daulah Utsmaniyah to be Secular Republic of Turkey. Religion is strictly separated from the state authorities in many countries today. But these last decades in Indonesia, a remarkable fact is apparent. Islamic law has expanded its role in Indonesian legal system, especially in districts regulations. In Aceh province, as a case in point, shariah has been the basic source of law in all regulations. There are more provinces in Indonesia which adopted Islamic law as a formal legal source by the end of 2014. Different from some other countries which clearly stipulates the status of Islam in formal ways, Indonesian constitution formally does not render any recognition for Islam to be the formal religion of the state. But in this Muslim majority country, Islamic law takes a place in democratic way, namely on the basis of the voice of majority. This paper will analyze how this reality increases significantly since what so called by Indonesian reformation era (end of nineties). Some causes will be identified regarding this tendency of expansion of role. Some lessons learned also will be recommended as the concluding remarks by the end of the paper.

Keywords: Islamic law, Indonesia, legal reform, Syariah local regulation

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Authors: Rafikoddin Kazi

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Almost all the major religions of the world condemn the transactions based on interest which promotes self-centered and materialistic thinking. Still, it is amazing to note that it has become the tradition of transaction at world level hence it is called traditional financial system. The main feature of this system is that it considers economic aspects of the transaction only. This system supports the economic development and not the welfare of humankind. However, it is worth mentioning the fact that, except Islamic financial system no other financial system stood in front of it as a viable alternative system. Although many countries have tried to create financial infrastructure and system, still the Malaysian Islamic financial system has got its own peculiarity. It has made tremendous progress in creating sound Islamic Financial system. However, the historical aspect of this country which has passed through Islamic and traditional financial system has got its own advantages and disadvantages. The advantageous factor is that, despite having mix and heterogeneous culture, it has succeeded in creating Islamic Financial System based on the dual legal system to satisfy the needs of multi-cultural factors. This fact has proved that Islamic Financial System does not need purely Muslim population. However, due to adoption of the dual legal system, several legal issues have been taken place. According to this system, the application of Islamic Law has been limited only up to some family and religious matters. The rest of the matters are being dealt with under the traditional laws, the principles and practices of which are different from that of the Islamic Legal System. The matter becomes all the more complicated when the cases are partially or simultaneously concerned with traditional vis-à-vis Islamic Laws as it requires expertise in both the legal systems. However, the educational principles and systems are different in respect of both the systems. To face this problem, Shariah Advisory Council has been established. But the Multiplicity of Shariah authorities without judicial power has created confusion at various levels. Therefore, some experts have stressed the need for improving, empowering the Islamic financial, legal system to make it more integrated and holistic. In view of the above, an endeavor has been made in this paper to throw some light on the matters related to the adoption of the dual legal system. The paper is conceptual in nature and the method adopted is the intensive survey of literature thereby all the information has been gathered from the secondary sources.

Keywords: Islamic financial system, Islamic legal system, Islamic capital market (ICM) , traditional financial system

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Authors: Ulemu Maseko

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This study critically examines the empowerment of Muslim women in Malawi, focusing on the Muslim Women’s Organization (MWO) and its impact on gender equality within Islamic communities. It explores MWO's interpretation of Islamic women's rights, the stereotypes Muslim women face, and the factors limiting their rights. Utilizing qualitative methods, including interviews, focus groups, and participant observations, the research adopts phenomenological and feminist frameworks. Findings indicate that since its establishment in 1985, MWO has significantly advocated for gender equality by leveraging Islamic teachings and policy to support women’s empowerment, enabling Muslim women to participate in social change. However, entrenched cultural traditions, patriarchal structures, and systemic poverty remain barriers to empowerment.

Keywords: Islam, women empowerment, Malawi, Islamic feminism

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Authors: Yahya Jahangiri, Ali Almasi

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Currently capitalism is one of the most important economic issues discussed by great scholars around the world. But Islamic approach, regarding this issue may differ both western and eastern views. A greatest scholar in Islamic economy ‘especially in Shia’ is Martyr Muhammad Baqir Al-Sadr. He wrote “Our economy” (Iqtisaduna) to present an economic point of view according to the Islamic teachings. In this regard firstly we will mention three approaches which are common in Muslim scullers about the economic science and then the main approach which is Sadr's view is described here. His claim explains that Islam and capitalism are in conflict with each other. And finally he explains the relationship between Islam and economy and he suggests the Islamic point of view in economy and its foundations as a solution for economic problems which we face today.

Keywords: Islam, economic science, capitalism, Martyr Sadr

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Authors: Aliyu Aminu Baba, Yahaya Danjuma, Ahmad Sule Liman-Katagum

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This paper examines the effects of the board of directors’ diversity on firm performance. We investigate the relationship between the number of women directors on the board and important board committees and financial performance measured as return on assets. Our statistical analysis supports the theoretical position of the effect diversity on financial performance. These studies enhanced the previous studies on the board of director’s gender diversity, board committees, and its impacts on firm financial performance. The study uses data from eighteen (18) Nigerian commercial banks. The study finds that banks with a higher number of females directors on board and board committees have higher Earning per share(EPS)) and Return on Assets (ROA). It also finds that some banks did not even have a single female on its corporate board. Evidence imply that decisions concerning the appointment of women to corporate boards should be on criteria and financial performance. It is recommended that banks can enhance their financial performance by having more female directors on their corporate board.

Keywords: board of directors, gender diversity, board committees, financial performance

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Authors: Hamdan Arief Hanif, Rahmat Sidiq

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Indonesia is a country of law, the legal system adopted by Indonesia is a civil law system. A major feature of the civil law is the codified legislation. Meanwhile the majority of society Indonesia are Muslims, whilst Islamic law itself having the sources written in Qur'an, Sunnah and the opinion of Muslim scholars, generally not codified in book form of legislation that is easy on the set as a reference. in Indonesia, many scholars have different opinions in decisions so that there is no legal certainty in Muslim civil cases, so the need for legal codification, which, as the source of the judges in deciding a case, especially a case in religious courts. This paper raised the topic of discussion which offers a solution to the application of the codification of the Islamic Law which became the core resources in delivering a verdict against Islamic civil related issue; codification usually called a compilation of Islamic Law. Compilation of Islamic Law is highly recommended as a core reference for the judges in religious courts in Indonesia. This compilation which includes a collection of large number of opinions scholars (book of fiqh) that existed previously and are ripened in deduce in order to unify the existing differences. This paper also discusses how the early formation of the compilation and as the right solution in order to create legal certainty and justice especially for the muslim community in Indonesia.

Keywords: Islamic law, compilation, law applied core, religious court

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Authors: Dchieche Amina, Aboulaich Rajae

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In this work, we will modelize Waad Bil Mourabaha contract. This islamic contract provides the right to buy goods at a future date with a Mourabaha. Waad is a promise of sale or purchase of goods, declared in a unilateral way. In spite of the divergence between some schools of Islamic law about the Waad, this contract will allow us to study sophisticated and interesting contract: Waad Bil Mourabaha that can be used for hedging. In order to price Waad Bil Mourabaha contract, we will use an adapted Black and Scholes model using the Shariah compliant assumptions.

Keywords: Islamic finance, Black-Scholes model, call option, risks, hedging

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Authors: Karolína Vozková, Matěj Kuc

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Net fee and commission income is one of the key elements of a bank’s core income. In the current low-interest rate environment, this type of income is gaining importance relative to net interest income. This paper analyses the effects of bank and country specific determinants of net fee and commission income on a set of cooperative banks from European countries in the 2007-2014 period. In order to do that, dynamic panel data methods (system Generalized Methods of Moments) were employed. Subsequently, alternative panel data methods were run as robustness checks of the analysis. Strong positive impact of bank concentration on the share of net fee and commission income was found, which proves that cooperative banks tend to display a higher share of fee income in less competitive markets. This is probably connected with the fact that they stick with their traditional deposit-taking and loan-providing model and fees on these services are driven down by the competitors. Moreover, compared to commercial banks, cooperatives do not expand heavily into non-traditional fee bearing services under competition and their overall fee income share is therefore decreasing with the increased competitiveness of the sector.

Keywords: cooperative banking, dynamic panel data models, net fee and commission income, system GMM

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Authors: Ahmad Masduki Bin Selamat, Kang Chia Yang

Abstract:

The International Standard Organization (ISO) is an international consensus on good management practice. It is derived from the Greek word “isos” meaning equal. ISO is aimed to give organization guidelines on what bring quality management system that leads to continuous improvement. The need of quality product is essential these days, especially in the manufacturing and service sectors. The requirement to produce good product is demanded, hence the certification of ISO enables the company to gain the trust from the public. Due to this, organizations whether government or private sectors in Malaysia are going for the ISO certification. However recently there has been an introduction of Islamic standard known as Islamic Standard Institute 2020 (ISI 2020). The ISI standards emphasize more on values that should be in the employees’ mind. By possessing good values, employees will work only for the betterment of the company. Currently only the feelings of being paid for the job exist in the employees’ mind. The non-Malays like Chinese and others, which comprise 40% of the sample size, are not aware about the existence of any Islamic quality system. As for the Malay managers, they support the Islamic quality systems. For them such values are encouraged by religion. By imitating religion, Allah promises a better life in this world and hereafter. Even though ISI 2020 is still new but the majority of Malays would support the need of Islamic quality system. Our findings suggest that integration of these two-quality systems running parallel would bring a better result.

Keywords: International Standard Organization (ISO), Islamic standard, quality, ISI 2020

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Authors: Abderrazek Ben Maatoug, Ibrahim Fatnassi, Wassim Ben Ayed

Abstract:

In this paper we investigate the issue of market risk quantification for Middle East and North Africa (MENA) Islamic market equity. We use Value-at-Risk (VaR) as a measure of potential risk in Islamic stock market, for long and short position, based on Riskmetrics model and the conditional parametric ARCH class model volatility with normal, student and skewed student distribution. The sample consist of daily data for the 2006-2014 of 11 Islamic stock markets indices. We conduct Kupiec and Engle and Manganelli tests to evaluate the performance for each model. The main finding of our empirical results show that (i) the superior performance of VaR models based on the Student and skewed Student distribution, for the significance level of α=1% , for all Islamic stock market indices, and for both long and short trading positions (ii) Risk Metrics model, and VaR model based on conditional volatility with normal distribution provides the best accurate VaR estimations for both long and short trading positions for a significance level of α=5%.

Keywords: value-at-risk, risk management, islamic finance, GARCH models

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Authors: Sonia Rebai, Mohamed Naceur Azaiez, Dhafer Saidane

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In this study, we develop a performance evaluation model based on a multi-attribute utility approach aiming at reaching the sustainable banking (SB) status. This model is built accounting for various banks’ stakeholders in a win-win paradigm. In addition, it offers the opportunity for adopting a global measure of performance as an indication of a bank’s sustainability degree. This measure is referred to as banking sustainability performance index (BSPI). This index may constitute a basis for ranking banks. Moreover, it may constitute a bridge between the assessment types of financial and extra-financial rating agencies. A real application is performed on three French banks.

Keywords: multi-attribute utility theory, performance, sustainable banking, financial rating

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Authors: Zeinabossadat Hosseini, Fateme Qorbani

Abstract:

The universal community has suffered from the lack of a sustainable and prosperous civilization in the world, and human distance from religious doctrines exposes the civilization of society to decline and collapse. To build a sustainable Islamic civilization, it is essential to understand and strengthen the core foundations of this subject. Islam, which claims to be integral in ensuring human prosperity and the creation of a new Islamic civilization, it can only develop this civilization if it has the necessary foundations. On the other hand, the family is one of the most important and effective foundations for effective individual and community life, and according to the influential role of the family on human behavioral and cognitive domains, it is impossible to define and explain the development of Islamic civilization without regard to the family category. The family can be effective in this important matter through its direct and indirect role in the education of individuals, and its members have the highest interaction and impact on each other. Development of the teachings of Islam in the form of verses and traditions can guide people towards the Islamic lifestyle and thus Islamic civilization and the Pure life (Tayyibah life-Al-Nahl/97). This article provides a descriptive-analytical approach to the conclusion that modern Islamic civilization promises the prosperity of the world and the hereafter. It will bring peace and prosperity to the world as well as advancement, fight against poverty, unity, and solidarity of Muslims, preservation of human dignity, as well as the growth of spirituality. It can also be deduced that the foundations of Islamic civilization in Qur'anic Tayyibah life and in today's term, the Islamic lifestyle, can be identified and implemented in the family structure, And the components of this blissful life can be found in this focus. The Tayyibah life will be realized by relying on the right faith and practice, paying attention to the rulings, divine command mentioned in the verses, as well as the traditions, altruism, nurturing a commitment to the community.

Keywords: family, development of modern Islamic civilization, quranic lifestyle, Tayyibah life

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