This study provides a comparison to the economic features of different modes of Islamic financing. The objective of the monograph is two fold. Firstly, it aims at helping planners and policy makers interested in Islamizing the financial system of their economies understand the economic implications of various modes of financing and, thus, formulate policies that benefit from the application of these modes.
In this paper we examine the performance of Bahrain as a leading financial center in the Gulf region. We estimate how close Bahrain banks are from their potential profits that a best-practice bank can earn and compare the profit efficiency of Islamic vs conventional banks. We employ the Fourier-flexible functional model to estimate the profit efficiency index._x000D_ _x000D_ Our findings show that the profit efficiency of Bahrain banks is relatively stable and in line with the OECD banks.
Sustainable development is targeted by many developing nations. In economic literature, development is defined as creating process of welfare and providing necessities for public to maintain opportunities and choices of a society. Nowadays, we not only use economic indicators to evaluate the level of development, but it is also necessary to introduce non- economic indicators such as hygienic, educational, demographic and other socio-cultural factors along with economic factors.
Measures have got to be taken to strengthen Islamic Financial Institutions. These measures include creating an enabling market environment that has the proper market discipline, moral integrity, and appropriate socio-political environment among others.
Comprehensive study of the use of zakah and awqaf at the macro-level to transition populations out of poverty, concluding that the potential for success in the use of zakah to eliminate poverty is contingent upon the GDP and population size of individual countries, and also upon the establishment of laws, regulations, and responsible institutions to ensure their proper use..
Assesses theoretical developments in Islamic banking, current trends of Islamic banking in practice, and identifies several issues requiring further study and research in light of current experience, such as the permissibility of credit creation by banks under Shar'ia law, risk in an interest-free economy, and seigniorage.