Search results for: Islamic sources

Authors: Lavan Vickneson

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In today’s modern economy, the conventional banking model is the primary banking system used around the world. A significant problem faced by the conventional banking model is the recurring nature of banking crises. History’s record of the various banking crises, ranging from the Great Depression to the 2008 subprime mortgage crisis, is testament to the fact that banking crises continue to strike despite the preventive measures in place, such as bank’s minimum capital requirements and deposit guarantee schemes. If banking crises continue to occur despite these preventive measures, it necessarily follows that there are inherent flaws with the conventional banking model itself. In light of this, a possible alternative banking model to the conventional banking model is Islamic banking. To date, Islamic banking has been a niche market, predominantly serving Muslim investors. This paper seeks to explore the possibility of Islamic banking being more than just a niche market and playing a greater role in banking sectors around the world, by being a viable alternative to the conventional banking model.

Keywords: bank crises, conventional banking model, Islamic banking, niche market

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Authors: Magid Maatallah

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The problem is, investment management in modern conditions boils down to risk management which is very underdeveloped in Islamic financial theory and practice. Add to this the fact that, in Islamic perception, this is one of the areas of conventional finance in need of drastic reforms. This need was recently underlined by the story of Long Term Capital Management (LTCM ), ( told by Roger Lowenstein in his book, When Genius Failed, Random House, 2000 ). So we face a double challenge, to develop Islamic techniques of risk management and to see that these new techniques are free from the ills with which conventional methods are suffering. This is different from the challenge faced in the middle of twentieth century, to develop a method of financial intermediation free of interest.Risk was always there, especially in business. But industrialization brought risks unknown in trade and agriculture. Industrial production often involves long periods of time .The longer the period of production the more the uncertainty. The scope of the market has expanded to cover the whole world, introducing new kinds of risk. More than a thousand years ago, when Islamic laws were being written, the nature and scope of risk and uncertainty was different. However, something can still be learnt which, in combination with the modern experience, should enable us to realize the Shariah objectives of justice, fairness and efficiency.

Keywords: financial markets, Islamic framework, risk management, investment

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Authors: Pradeep Kulshrestha, Maulana Ayoub Ali

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The level of penetration of Islamic banking products and services has recorded a reasonable growth at an exponential rate in many parts of the world. There are many factors which have contributed to this growth including, but not limited to the rapid growth of number of Muslims who are uncomfortable with the conventional ways of banking, interest and higher interest rates scheduled by conventional banks and financial institutions as well as the financial inclusion campaign conducted in many countries. The system is facing legal challenges which open the research fdoor for practitioners and academicians for the sake of finding out solutions to those challenges. This paper tries to investigate the development of the Islamic banking system in the United Kingdom (UK), Saudi Arabia, Malaysia, Iran, Kenya, Nigeria and Uganda in order to understand the modalities which have been employed to run an Islamic banking system in the aforementioned countries. The methodology which has been employed in doing this research paper is Doctrinal, of which legislations, policies and other legal tools have been carefully studied and analysed. Again, papers from academic journals, books and financial reports have been deeply analysed for the purpose of enriching the paper and come up with a tangible results. The paper found that in Asia, Malaysia has created the smoothest legal platform for Islamic banking system to work properly in the country. The United Kingdom has tried harder to smooth the banking system without affecting the conventional banking methods and without favouring the operations of Islamic banks. It also tries harder to make UK as an Islamic banking and finance hub in Europe. The entire banking system in Iran is Islamic, while Nigeria has undergone several legal reforms to suit Islamic banking system in the country. Kenya and Uganda are at a different pace in making Islamic Banking system work alongside the conventional banking system.  

Keywords: shariah, Islamic banking, law, alternative banking

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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: Nasir Mehmood, Muhammad Yar Khan, Anam Javeed

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This study aims to scrutinize the dynamics which tend to impact customer’s purchasing intention of Islamic credit card and nexus of product’s knowledge and religiosity with the attitude of potential Islamic credit card’s customer. The theory of reasoned action strengthened the idea that intentions due to its proven predictive power are most likely to instigate intended consumer behavior. Particularly, the study examines the relationships of perceived financial cost (PFC), subjective norms (SN), and attitude (ATT) with the intention to purchase Islamic credit cards. Using a convenience sampling approach, data have been collected from 450 customers of banks located in Rawalpindi and Islamabad. A five-point Likert scale self-administered questionnaire was used to collect the data. The data were analyzed using the Statistical Package of Social Sciences (SPSS) through the procedures of principal component and multiple regression analysis. The results suggested that customer’s religiosity and product knowledge are strong indicators of attitude towards buying Islamic credit cards. Likewise, subjective norms, attitude, and perceived financial cost have a significant positive impact on customers’ purchase intent of Islamic bank’s credit cards. This study models a useful path for future researchers to further investigate the underlined phenomenon along with a variety of psychodynamic factors which are still in its infancy, at least in the Pakistani banking sector. The study also provides an insight to the practitioners and Islamic bank managers for directing their efforts toward educating customers regarding the use of Islamic credit cards and other financial products.

Keywords: attitude, Islamic credit card, religiosity, subjective norms

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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: Ahmad Masduki Bin Selamat, Kang Chia Yang

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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

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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: Zeinabossadat Hosseini, Fateme Qorbani

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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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Authors: Meysam Saidi

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While the specific externalities and required regulatory measures in relation to Islamic banking are fairly uncertain, the business is growing across the world. Unofficial data indicate that the Islamic Finance market is growing with annual rate of 15% and it has reached 1.3 $ trillion size. This trend is associated with inherent systematic connection of Islamic financial institutions to other entities and different sectors of economies. Islamic banking has been subject of market development policies in major economies, most notably the UK. This trend highlights the need for identification of distinct risk features of Islamic banking and crafting customized regulatory measures. So far there has not been a significant systemic crisis in this market which can be attributed to its distinct nature. However, the significant growth and spread of its products worldwide necessitate an in depth study of its nature for customized congruent regulatory measures. In the post financial crisis era some market analysis and reports suggested that the Islamic banks fairly weathered the crisis. As far as heavily blamed conventional financial products such as subprime mortgage backed securities and speculative credit default swaps were concerned the immunity claim can be considered true, as Islamic financial institutions were not directly exposed to such products. Nevertheless, similar to the experience of the conventional banking industry, it can be only a matter of time for Islamic banks to face failures that can be specific to the nature of their business. Using the experience of conventional banking regulations and identifying those peculiarities of Islamic banking that need customized regulatory approach can aid to prevent major failures. Frank Knight has stated that “We perceive the world before we react to it, and we react not to what we perceive, but always to what we infer”. The debate over congruent Islamic banking regulations might not be an exception to Frank Knight’s statement but I will try to base my discussion on concrete evidences. This paper first analyzes both theoretical and actual features of Islamic banking in order to ascertain to its peculiarities in terms of market stability and other externalities. Next, the paper discusses distinct features of Islamic financial transactions and banking which might require customized regulatory measures. Finally, the paper explores how a more transparent path for the Islamic banking regulations can be drawn.

Keywords: Islamic banking, regulation, risks, capital requirements, customer protection, financial stability

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Authors: Fatma Ezzahra Kateb, Neila Boulila Taktak, Mohamed Kabir Hassan

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We examine the impact of Islamic accounting and auditing standards issued by the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) on the income smoothing perspective of Islamic financial institutions located in the Middle East and North Africa region between 2013 and 2018. Based on General Least square regression for panel data, we find a significant and positive relationship between intentional income smoothing and earning persistence and cash flow predictability in all models. However, we discovered that AAOIFI accounting standards (FAS) had a negative and significant effect on intentional income smoothing and earning persistence. As a result, the income smoothing efficiency is lower for IFIs that use FASs than IFIs that use IFRSs. Our findings emphasize the need for specific standards to enhance the relevance of financial reports disclosed by Islamic financial institutions.

Keywords: AAOIFI, financial reporting quality, income smoothing perspective, MENA countries

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Authors: Maziar Asefi, Safa Salkhi Khasraghi

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Despite the great development of Islamic Architecture in its conquered lands, its active performance in a vast geographical area, faded by the advent of industrial age. Now in the Information Age with great advances in technologies and increased interconnection among many societies, every aspect of life is affected by rapid spreading phenomenon called globalization which resulted in the world with less regional and cultural boundaries. So being proudly globalized in the past and becoming inactive in today's globalized world puts Islamic Architecture in a great challenge. Indeed, its important role has changed from transmitting cultural values to the world to importing dominated values even defectively. This study aimed to determine the factors influenced this controversial situation of Islamic Architecture, especially in current age. The paper focuses on performance of Islamic architecture in relation with Globalization as an ancient process. So qualitative method in terms of logic analysis was chosen to evaluate how Islamic architecture of Iran has contributed in Globalization subject in different time periods. Several works were analyzed as case studies in three categories: religious, monumental, commercial utilities and climate element. Theoretical and practical findings indicate that there is a mutual relationship between Islamic Architecture and Globalization which is transformed from the active mode to passive mode gradually in three periods of Globalization: proto, modern and communication Globalization. The proposed solution in the response to this challenge is finding a solution that makes an equilibrium between science, art, and technology, as well as taking the global performance of architecture.

Keywords: Islamic architecture, globalisation, the relationship among art, science and technology, Iranian architecture

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Authors: Sabah Khan

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The idea of universal Islam tends to exaggerate the extent of homogeneity in Islamic beliefs and practices across Muslim communities. In the age of migration, various Muslim communities are in diaspora. The immediate implication of this is what happens to Islam in diaspora? How Islam gets represented in new forms? Such pertinent questions need to be dealt with. This paper shall draw on the idea of religious transnationalism, primarily transnational Islam. There are multiple ways to conceptualize transnational phenomenon with reference to Islam in terms of flow of people, transnational organizations and networks; Ummah oriented solidarity and the new Muslim public sphere. This paper specifically deals with the new Muslim public sphere. It primarily refers to the space and networks enabled by new media and communication technologies, whereby Muslim identity and Islamic normativity are rehearsed, debated by people in different locales. A new sense of public is emerging across Muslim communities, which needs to be contextualized. This paper uses both primary and secondary data. Primary data elicited through content analysis of audio-visuals on social media and secondary sources of information ranging from books, articles, journals, etc. The basic aim of the paper is to focus on the emerging Muslim public sphere and the role of media in expanding public spheres of Islam. It also explores how Muslims in diaspora negotiate Islam and Islamic practices through media and the new Muslim public sphere. This paper cogently weaves in discussions firstly, of re-intellectualization of Islamic discourse in the public sphere. In other words, how Muslims have come to reimagine their collective identity and critically look at fundamental principles and authoritative tradition. Secondly, the emerging alternative forms of Islam by young Muslims in diaspora. In other words, how young Muslims search for unorthodox ways and media for religious articulation, including music, clothing and TV. This includes transmission and distribution of Islam in diaspora in terms of emerging ‘media Islam’ or ‘soundbite Islam’. The new Muslim public sphere has offered an arena to a large number of participants to critically engage with Islam, which leads not only to a critical engagement with traditional forms of Islamic authority but also emerging alternative forms of Islam and Islamic practices.

Keywords: Islam, media, Muslims, public sphere

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Authors: Khurram Shahzad, Muhammad Usman

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The main aim of this study is to examine the direct and interactive effects of job insecurity and Islamic work ethics on employee’s attitude towards change and organizational citizenship behavior. Design/methodology/approach: The data was collected from 171 male and female university teachers of Pakistan. Self administered, close ended questionnaires were used to collect the data. Data was analyzed through correlation and regression analysis. Findings: Through the analysis of data, it was found that job insecurity has a strong negative effect on the attitude towards change of university teachers. On the contrary, job insecurity has no significant effect on organizational citizenship behavior of university teachers. Our results also show that Islamic work ethics does not moderate the relationship of job insecurity and attitude towards change, while a strong moderation effect of Islamic wok ethics is found on the relationship of job insecurity and organizational citizenship behavior. Originality/value: This study for the first time examines the relationship of job insecurity with employee’s attitude towards change and organizational citizenship behavior with the moderating effect of Islamic work ethics.

Keywords: job security, islamic work ethics, attitude towards change, organizational citizenship behavior

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Authors: Hamid Reza Shariatmadari

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The Muslims who believe in twelve Imams and believe that their twelfth Imam is now hidden, because of their kind of consideration of immune Imam as their unique canonical authority for interpretation of Islam, are subject of these important questions; how can you be democratic? And can you speak of democracy as the best model of governing? Answering this question, we can talk firstly about the nature of democracy and realize it as a way and mechanism not as a philosophy of identity and secondly we can refer to the nature and functions of Imam in Shiism and thirdly we will focus on the age of Ghaybah (Or concealment of Imam). In such a time we can or have to combine domination of Islamic Faqis (Islamic Jurists) and democracy which is known in Shiite Iran for instance as religious democracy.

Keywords: Shiism, concealment of Imam, Islamic Jurists, Democracy

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Authors: Smail Hadj Mahammed

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Translation is not merely a process of conveying the meaning from one particular language into another to overcome language barriers and ensure a good understanding; it is also a work of civilization and progress. Without the translation of Greek, Indian and Persian works, Arabic and Islamic Civilization would not have taken off, and without the translations of Arabic works into Latin, and then into European languages, the scientific and technological revolution of the modern world would not have taken place. In this context, the present paper seeks to investigate how the translation movement contributed to the Arabic and Islamic Civilizations during the Golden Age. The research paper consists of three major parts: the first part provides a brief historical overview of the translation movement during the golden age, which witnessed two important eras: the Umayyad and Abbasid eras. The second part shows the main reasons why translation was a prominent cultural activity during the Golden Age and why it gained great interest from the Arabs. The last part highlights the constructive contribution of translation to the Arabic and Islamic Civilization during the period (661–1258). The results demonstrate that Arabic translation movement was unprecedented in the transmission of knowledge in the whole history of humankind and that translation during the Golden Age had significantly assisted in enriching the Arabic and Islamic civilizations, which had absorbed major and important scientific works of old Greek, Indian and Persian civilizations.

Keywords: Arabic and Islamic civilization, contribution, golden age, translation

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Authors: Nazima Ellahi, Danish Ramzan

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There is a growing trend among development economists regarding the importance of financial sector for economic development and growth activities. The development thus introduced, helps to promote welfare effects and poverty alleviation. This study is an attempt to find the nature of link between Islamic banking financing and development of output growth for Pakistan. Time series data set has been utilized for a time period ranging from 1990 to 2010. Following the Phillip Perron (PP) and Augmented Dicky Fuller (ADF) test of unit root this study applied Ordinary Least Squares (OLS) method of estimation and found encouraging results in favor of promoting the Islamic banking practices in Pakistan.

Keywords: Islamic finance, poverty alleviation, economic growth, finance, commerce

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Authors: Safa Ougoujil, Sidi Mohamed Rigar

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Economics is not an exact science. It cannot be from the moment it is a social science that concerns society organization, a human science that depends on the behavior of the men and women who make a part of this society. Therefore, it cannot ignore morality, the instinctive sense of good and evil, the natural order which place us between certain values, and which religion often sheds light on. In terms of finance, the reference to ethics is becoming more popular than ever. This is naturally due to the growing financial crises. Finance is less and less ethical, but some financial practices have continued to do so. This is the case of ethical finance and Islamic finance. After attempting to define the concepts of ethical finance and Islamic finance, in a period when financial innovation seeks to encourage differentiation in order to create more profit margins, this article attempts to expose the particularities, the convergences and the potentialities of development of these two sensibilities.

Keywords: convergences, ethical finance, Islamic finance, potential development

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Authors: Seyed Jafar Hosseini, Rahim Vakilzadeh, Hassan Movassagi

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‘Negation of insinuation’ or ‘negation of dominance’ Rule is considered as one of the most important principles governing the policies and external relations of Islamic and religious countries. The stable and influential role which this rule puts on the behavior and policies of the Islamic religion and foreign policies of Islamic countries shows the importance of the presented topic. Among Islamic scholars, Imam Khomeini (RA) has been paid most attention to this rule on governing issues. In the present study, we are going to investigate the nature and dimensions of Negation of insinuation rule in Imam Khomeini's ideas with an analytical and descriptive method. The obtained results show that Negation of insinuation rule is an effective and main guidance in Imam's thoughts and behavior.

Keywords: negation of insinuation Rule, Imam Khomeini (RA), cultural domination, political domination, economic domination

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Authors: Amin Moradi, Maryam Moeini

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It is a widely held view that Ghiyath al-Din Jamshid-e-Kashani, also known as al-Kashi (1380-1429 CE), was the first who played a significant role in the interaction between mathematicians and architects by introducing theoretical knowledge in Islamic architecture. In academic discourses, geometric rules extracted from his splendid volume titled as Key of Arithmetic has uncritically believed by historians of architecture to contemplate the whole process of arch design all throughout the Islamic buildings. His theories tried to solve the fundamental problem of structural design and to understand what makes an Islamic structure safe or unsafe. As a result, al-Kashi arrived at the conclusion that a safe state of equilibrium is achieved through a specific geometry as a rule. This paper reassesses the stability of al-Kashi's systematized principal forms to evaluate the logic of his hypothesis with a special focus on large spans. Besides the empirical experiences of the author in masonry constructions, the finite element approach was proposed considering the current standards in order to get a better understanding of the validity of geometric rules proposed by al-Kashi for the equilibrium conditions of Islamic masonry arches and vaults. The state of damage of his reference arches under loading condition confirms beyond any doubt that his conclusion of the geometrical configuration measured through his treaties present some serious operational limits and do not go further than some individualized mathematical hypothesis. Therefore, the nature of his mathematical studies regarding Islamic arches is in complete contradiction with the practical knowledge of construction methodology.

Keywords: Jamshid al-Kashani, Islamic architecture, Islamic geometry, construction equilibrium, collapse mechanism

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Authors: Noraizah Abu Bakar, Norhayati Alais, Nurdiana Azizan, Fatimah Alwi, Muhammad Zaky Razaly

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This is a concise research module with the Islamic values concept proposed to a group of researches, potential researchers, PhD and Master Scholars to prepare themselves for their studies. The intention of designing this module is to help and guide Malaysian citizens to undergone their postgraduate’s studies. This is aligned with the 10th Malaysian plan- MyBrain 15. MyBrain 15 is a financial aid to Malaysian citizens to pursue PhD and Master programs. The program becomes one of Ministry of Education Strategic Plan to ensure by year 2013, there will be 60,000 PhD scholars in Malaysia. This module is suitable for the social science researchers; however it can be useful tool for science technology researchers such as Engineering and Information Technology disciplines too. The module consists of eight (8) series that provides a proper flow of information in doing research with the Islamic Value Application provided in each of the series. This module is designed to produce future researchers with a comprehensive knowledge of humankind and the hereafter. The uniqueness about this research module is designed based on Islamic values concept. Researchers were able to understand the proper research process and simultaneously be able to open their minds to understand Islam more closely. Application of Islamic values in each series could trigger a broader idea for researchers to examine in greater depth of knowledge related to humanities.

Keywords: Eight Series Research Module, Islamic Values concept, Teaching Methodology, Flow of Information, Epistemology of research

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Authors: Hassan Attahiru Gwandu

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This study aims at surveying and analyzing the contribution of Sokoto scholars or Sokoto Caliphate in the development of science and technology in West Africa. Today, it is generally accepted that the 19^th century Islamic revivalism in Hausaland was a very important revolution in the history of Hausa society and beyond. It is therefore, as a result of this movement or Jihad; the Hausaland (West Africa in general) witnessed several changes and transformations. These changes were in different sectors of life from politics, economy to social and religious aspect. It is these changes especially on religion that will be given considerations in this paper. The jihad resulted is the establishment of an Islamic state of Sokoto Caliphate, the revival Islam and development of learning and scholarship. During the existence of this Caliphate, a great deal of scholarship on Islamic laws were revived, written and documented by mostly, the three Jihad leaders; Usmanu Danfodiyo, his brother Abdullahi Fodiyo and his son Muhammad Bello. The trio had written more than one thousand books and made several verdicts on Islamic medicine. This study therefore, seeks to find out the contributions of these scholars or the Sokoto caliphate in the development of science in West Africa.

Keywords: Sokoto caliphate, scholarship, science and technology, West Africa

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Authors: Salma I. Dwidar, Amal A. Abdel-Sattar

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The window openings are the key to the relationship between the inside and the outside of any building. It is the eye that sees from, the lunges of the construction, and the ear to hear. The success of the building, as well as the comfort of the uses, depends mainly on this relationship. Usually, windows are affected by human factors like religious, social, political and economic factors as well as environmental factors like climatic, aesthetic and functional factors. In Islamic architecture, the windows were one of the most important elements of physiological and psychological comfort to the users of the buildings. Windows considered one of the main parameters in designing internal and external facade, where the window openings occupied a big part of the formation of the external facade of the buildings. This paper discusses the importance of the window openings and its relationship to residential buildings in the Islamic architecture. It addresses the rules that have been followed in the design of windows in Islamic architecture to achieve privacy and thermal comfort while there are no technological elements within the dwellings. Also, it demonstrates the effects of windows on the building form and identity and how it gives a distinctive fingerprint of the architecture buildings.

Keywords: window openings, thermal comfort, residential buildings, the Islamic architecture, human considerations

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Authors: Dlir Abdullah Ahmed

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Overall aims of this study are to investigate the effects of differences of opinions among Shari’ah supervisory bodies on standardization and internationalization of Islamic banking products and services. The study has used semi-structured in-depth interview where five respondents from both the Middle East and Malaysia Shari’ah advisors participated in the interview sessions. The data were analyzed by both manual and software techniques. The findings reveal that indeed there are differences of opinions among Shari’ah advisors in different jurisdictions. These differences are due to differences in educational background, schools of thoughts, environment in which they operate, and legal requirements. Moreover, the findings also reveal that these differences in opinions among Shari’ah bodies create confusions among public and bankers, and negatively affect standardization of Islamic banking transactions. In addition, the study has explored the possibility to develop Islamic-based products. However, the finding shows that it is difficult for the industry to have Islamic-based products due to high competition from conventional counterpart, legal constraints and moral hazard. Furthermore, the findings indicate that lack of political will and unity, lack of technology are the main constraints to internationalization of Islamic banking products. Last but not least, the study found that there are possibility of convergence of opinions, standardization of Islamic banking products and services if there are unified international Shari’ah h advisory council, international basic requirements for Islamic Shari’ah h advisors, and increase training and educations of Islamic bankers. This study has several implications to the bankers, policymakers and researchers. The policymakers should be able to resolve their political differences and set up unified international advisory council and international research and development center. The bankers should increase training and educations of the workforce as well improve on their banking infrastructure to facility cross-border transactions.

Keywords: Shari’ah h views, Islamic banking, products & services, standardization.

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Authors: Rosyidah, Permata Wulandari

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We investigate the price effect of addition and deletions from the Indonesia Sharia Stock Index (ISSI) and Jakarta Islamic Index (JII). Using event study methodology, we measure abnormal returns for firms over the period June 2019 - to December 2021. Through the sample of 107 additions and 95 deletions, we find evidence to support the theory of Muslim country investment behavior. We find that additions to the Islamic index led to a significant positive stock market reaction and deletions to the Islamic index led to a negative stock market reaction on Jakarta Islamic Index (JII) and there is no significant reaction of addition and deletion on Indonesia Sharia Stock Index (ISSI).

Keywords: abnormal return, abnormal volume, event study, index changes, sharia index

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Authors: Danielle Jablanski

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This article addresses the use of drone strikes under international law and the intersection between Islamic law and current terrorist trends worldwide. It breaks down the legality of drone strikes under international law and dissects certain aspects of their usage in modern warfare; i.e. concepts of directly participating in hostilities and the role of CIA operators. The article then looks at international paradigms of law enforcement versus the use of military force in relation to terrorism. Lastly, it describes traditional aspects of Islamic law and several interpretations of the law today as applied to widespread campaigns of terrorism, namely that of the recent group ISIS or ISIL operating between the battlegrounds of Iraq and Syria. The piece concludes with appraisals for moving forward on the basis of honing in on reasons for terrorism and negative opinions of solely military campaigns to dismantle or disrupt terror organizations and breeding grounds.

Keywords: international law, terrorism, ISIS, islamic law

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Authors: Ahmad Dahlan Salleh, Nik Abdul Rahim Nik Abdul Ghani, Muhamad Firdaus M. Hatta

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Risk management has implications on pricing, governance arrangements, business practices and strategy. Nowadays, home financing contract offers more in the risk transfer form to increase bank profit. This is parallel with Islamic jurisprudence method al-Kharaj bi al-thaman (gain accompanies liability for loss) and al-ghurm bil ghunm (gain is justified with risk) that determine the matching between risk transfer and returns. Malaysian financing trend is to buy house. Besides, exists transparency lacking risk transfer issues to the clients because of not been informed clearly. Terms and conditions of each financing also do not reflect clearly that the risk has been transferred to the client, justifying a determination price been made. The assumption on risk occurrence is also inaccurate as each risk is different with the type of financing contract. This makes the Islamic Financial Services Act 2013 in providing standards that transparent and consistent can be used by Islamic financial institution less effective. This study examines how far the level of the risk and obligation incurred by bank and client under various Islamic home financing contract. This research is qualitative by using two methods, document analysis, and semi-structured interviews. Document analysis from literature review to identify profile, themes and risk transfer element in home financing from Islamic jurisprudence perspective. This study finds that need to create a risk transfer parameter by banks which are consistent with risk transfer theory according to Islamic jurisprudence. This study has potential to assist the authority in Islamic finance such as The Central Bank of Malaysia (Bank Negara Malaysia) in regulating Islamic banking industry so that the risk transfer valuation in home financing contract based on home financing good practice and determined risk limits.

Keywords: risk transfer, home financing contract, Sharia compliant, Malaysia

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Authors: Muhamad Rosdi Senam, Khairuddin Abdul Rashid, Azila Ahmad Sarkawi, Rapiah Mohd Zaini

Abstract:

Islam is a way of life than merely a religion that covers all facets of Muslim affairs and lifes. It provides the most comprehensive values, principles and guidance that are based on divine sources to all mankind in all spheres including leadership. Islamic leadership is all encompassing and holistic model of leadership that offers the tauhidic paradigm, spiritual and ethical (akhlaq) dimensions that are absent in the modern conventional leadership theories. Islamic leadership has a glorious history of great success from the era of the Prophet S.A.W. and the following caliphs that had conquered almost one third of the world territory during that time, as their leadership was paragon of excellence that followed to the spirits and teachings of the Qur’an and the Sunnah. As the modern civilisation designed by the West takes place, the modern leadership theories has been dominating the world and literature including those in the Muslim countries. However, it is clear that values and principles derived from Islam and the West are distinct, as the Islamic ones are based on divine, the non-Islamics are not indeed as there are based on human rational and judgement. Recent development in business organisations and literature have seen the tendency towards moral, ethical, even spiritual and positive form of leadership such as servant leadership, ethical leadership, authentic leadership and spiritual leadership that found its root in the Islamic model of leadership.This development has surfaced after series of serious ethical dilemma, corporate scandals and leadership crisis in the West. This paper aims to draw a comparative discussions and analysis between the modern conventional leadership theories with the Islamic leadership by highlighting the key dimensions that distinguish the two. It is suggested in this paper that the core dimensions of Islamic leadership are spiritual dimension, moral and ethical dimension and physical dimension which is also paralleled with the roles of khalifah of Allah on earth; relationship with Allah, relationship with human beings and relationship with the environment respectively. Islam is a way of life than merely a religion that covers all facets of Muslim affairs and lifes. It provides the most comprehensive values, principles and guidance that are based on divine sources to all mankind in all spheres including leadership. Islamic leadership is all encompassing and holistic model of leadership that offers the tauhidic paradigm, spiritual and ethical (akhlaq) dimensions that are absent in the modern conventional leadership theories. Islamic leadership has a glorious history of great success from the era of the Prophet S.A.W. and the following caliphs that had conquered almost one third of the world territory during that time, as their leadership was paragon of excellence that followed to the spirits and teachings of the Qur’an and the Sunnah. As the modern civilisation designed by the West takes place, the modern leadership theories has been dominating the world and literature including those in the Muslim countries. However, it is clear that values and principles derived from Islam and the West are distinct, as the Islamic ones are based on divine, the non-Islamics are not indeed as there are based on human rational and judgement. Recent development in business organisations and literature have seen the tendency towards moral, ethical, even spiritual and positive form of leadership such as servant leadership, ethical leadership, authentic leadership and spiritual leadership that found its root in the Islamic model of leadership.This development has surfaced after series of serious ethical dilemma, corporate scandals and leadership crisis in the West. This paper aims to draw a comparative discussions and analysis between the modern conventional leadership theories with the Islamic leadership by highlighting the key dimensions that distinguish the two. It is suggested in this paper that the core dimensions of Islamic leadership are spiritual dimension, moral and ethical dimension and physical dimension which is also paralleled with the roles of khalifah of Allah on earth; relationship with Allah, relationship with human beings and relationship with the environment respectively.

Keywords: conventional leadership, Islamic leadership, comparative, dimensions

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Authors: Ahmad Syauqi

Abstract:

This paper analyzes the permissibility of demonstrations against a leader's decision, policies, as well as statements against Islamic values from an Islamic point of view. Recorded at the end of 2016, a large demonstration in Jakarta involving many people, mostly from Muslim society against the former Governor of Jakarta, Basuki Tjahaja Purnama, was considered a form of harm to the value of harmony and the unity of religious communities in Indonesia. Hence, this paper aims to answer the question that became a tough discussion and a long debate among Indonesian Muslims after an immense demonstration known as the 212 movements, ‘how exactly Islam sees such act of demonstration?’. Is there any particular historical source in Islamic history that mention information related to demonstration? A phenomenological qualitative method was implemented throughout the process of this research to study the perspective of various Muslims scholars by reviewing, and comparing their opinions through the classical source of Islamic history and Hadith literature. One of the main roots of this extensive debate is due to the extremist group, which bans all forms of demonstration, assuming that such acts had come from the West and unknown culture in the Islamic history. In addition, they also claim that all the demonstrators are Bughat. While some other groups, freely declare that demonstration can be done anytime and anywhere, without specific terms and regulations associated. The findings of this research illustrate that the protests which we now know of today, in terms of demonstration had existed since ancient times, even from the time of the prophet Muhammad (peace be upon him). This paper reveals that there is a strong evidence that demonstration is justified in Islamic law and has a historical root. This can, therefore, be a proposition of such permissibility. However, there are still a number of things one has to be aware of when it comes to the demonstration, and clearly, not all demonstrations are legal from the Islamic perspective.

Keywords: Basuki Tjahaja Purnama, demonstration, Muslim scholars, protest

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Authors: Nasurullah Qureshi

Abstract:

Shaikh Ahmad Sirhindi Mujadid Alif Thani (1564-1624) and his philosophy had influenced sub-continent as the whole; its rulers and nation. In his reign, he convinced the rulers toward Islamic way of life and succeed in his goal. After his death in 1624, his family consecutively produced prominent scholars to present. Some of them moved to Afghanistan and Pakistan's cities i.e., Jalalabad, Qandhar, Peshawar, Queta, Shikarpur, Hyderabad, and Sehwan. They played a vital role in their areas and transmitted spiritual and legal Islamic teachings to people. This research is aimed to elaborate efforts of the family's Sindh settled branch from 1898-present in fields of politics and Islamic education. Their link with Shaikh Ahmad Sirhindi will be provided in the introduction. After that, the work will explain their scholarly published work briefly in different fields of Islamic studies such as Quran exegeses and its translation in Sindhi language, Hadith and its sciences, Islamic Jurisprudence, Sufism and etc. In addition, their political role will be briefly discussed in the research throughout the period, especially their noticeable role in the separate homeland for Muslims in the subcontinent. Furthermore, the impact of their scholarly work, political influence and spirituality will be enlightened. Lastly, the research will present the critical viewpoint on their struggle.

Keywords: Shaikh Ahmad Sirhindi, Sirhindi scholars, Sindh, Sufism

Procedia PDF Downloads 251