Hamad Bin Khalifa University, Doha, Qatar

The teaching of Islamic economics and finance has been part of the agenda of the International Association for Islamic Economics (IAIE) since their first meeting in Makkah in 1976. The constant emphasis on the importance of integrating Islamic economics and finance education as part of educational mission of higher education has been noteworthy. During the 10th International Conference on Islamic Economics and Finance in Doha (23-24 March 2015), the 4th International Symposium on Islamic Economics and Finance Education was held.

This volume titled Access to Finance and Human Development – Essays on Zakah, Awqaf and Microfinance aims to bring together papers on these themes. The volume consists of selected papers from the 8th International Conference on Islamic Economics and Finance held in Doha from 19 to 21 December 2011 and from the 9th International Conference on Islamic Economics and Finance held in Istanbul from 9 to 11 September 2013.

An empirical study on the robustness of the Alpha factor in the selected GCC Islamic banks. Alpha factor is a value determined by using the formula proposed by the Islamic Financial Services Board (IFSB) as an alternative for Capital Adequacy Ratio for Islamic banks, where Profit Sharing Investment Accounts (PSIA) are treated as semi-deposits with a part of or entire risk on the PSIAs being borne by the shareholders. Furthermore, it is demonstrated that the regulatory practice in this regards needs improvement on credibility.

An argument is made that instead of mitigating risks as claimed, switching from classical and real structured Islamic financial products to a cash-based instruments (Tawarruq) by Islamic Financial Institutions (IFIs) has exposed them to a serious complexity of risks.