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on Islamic Finance |
| By: | Yandiev Magomet (Department of Economics, Lomonosov Moscow State University) |
| Abstract: | The paper analyzes stock trading for identifying speculative and investment transactions in stock by the example of the Moscow Exchange. The analysis uses ticks of 15 issuers for two months of 2023. It is revealed that exchange dealings are predominantly speculative in nature and that stock market speculations do not comply with the Islamic finance rules. Solutions are proposed for bringing the trading mechanism into compliance with the principles of Sharia (the Islamic finance model). |
| Keywords: | Islamic, finance, banking, speculation, stock exchange, number of transactions, stock |
| JEL: | G1 G2 Y80 Z12 |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:upa:wpaper:0073 |
| By: | Zakaria Savon (Ph.D., Faculty of Legal, Economic and Social Sciences - Souissi, Mohammed V University, Rabat) |
| Abstract: | Islamic banking plays a critical role in mobilizing funds for the economy. The financing mechanisms used by Islamic banks are largely influenced by macroeconomic conditions due to their asset-backed nature. A substantial portion of the assets held by these banks originates from debt financing methods, including Murabahah and Ijarah. However, Islamic financial institutions are exposed to various risks, particularly financing or credit risks. This type of risk pertains to the potential financial losses that banks may encounter when a borrower fails to meet their obligations. The non-performing financing (NPF) rate serves as a key indicator for assessing this risk. Our study investigates the impact of key macroeconomic variables and monetary policy on the nonperforming financing rate of Islamic banks in Jordan. The analysis employs an autoregressive distributed lag (ARDL) model, utilizing data from the fourth quarter of 2013 through the first quarter of 2022. The results indicate that both monetary policy and economic growth significantly influence the non-performing financing rates of Islamic banks in Jordan. |
| Keywords: | Islamic banks, Credit-risk, Macroeconomics, Monetary policy, ARDL, JORDAN |
| Date: | 2025–02 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05011821 |
| By: | Zakaria Savon (Ph.D., Faculty of Legal, Economic and Social Sciences - Souissi, Mohammed V University, Rabat); Abdellah Yousfi (UMP - Professor, Faculty of Law, Economics and Social Sciences, University Mohammed First, Oujda, Morocco.) |
| Abstract: | The rapid rise of Islamic finance, and particularly Islamic banking, has attracted considerable attention and sparked much debate about its effects on the real sector. This work aims to empirically identify the effects of Islamic bank financing on economic growth in a panel of countries with a dual banking system, during the period from 2013 to 2022. To do this, it employs the fully modified ordinary least squares (FMOLS) approach. The results indicate a positive impact of Islamic bank financing on economic growth. |
| Abstract: | L'essor rapide de la finance islamique, et particulièrement du secteur bancaire islamique, a attiré une attention considérable et suscité de nombreux débats sur ses effets sur le secteur réel. Ce travail vise à identifier empiriquement les effets du financement bancaire islamique sur la croissance économique dans un panel de pays dotés d'un système bancaire dual, pendant la période de 2013 à 2022. Pour ce faire, Il emploie l'approche des moindres carrés ordinaires entièrement modifiées (FMOLS). Les résultats indiquent un impact positif du financement bancaire islamique sur la croissance économique. |
| Keywords: | Banques Islamiques, Financement, Croissance économique, Impact, FMOLS |
| Date: | 2024–07–29 |
| URL: | https://d.repec.org/n?u=RePEc:hal:journl:hal-05011836 |
| By: | Ozili, Peterson K |
| Abstract: | This study investigates the effect of financial inclusion on economic welfare in three religious country groups: majority Christian countries, majority Hindu countries and majority Muslim countries. The study analysed 30 religious countries during the 2004 to 2020 period using the two-stage least squares regression method. The economic welfare variables are the gross domestic product (GDP) growth rate, GDP per capita growth, inflation rate and the unemployment rate. The main explanatory variable is the composite financial inclusion index. The control variables are corruption control index, political stability index, total population growth, rule of law index and the regulatory quality index. It was found that financial inclusion is positively correlated with corruption control, political stability, rule of law and regulatory quality in religious countries while financial inclusion is negatively correlated with total population growth, economic growth, GDP per capita growth, inflation rate and unemployment rate in religious countries. Regression results show that high level of financial inclusion decreases the unemployment rate in majority Muslim countries. A pre-existing low unemployment rate is significantly associated with higher financial inclusion in majority Christian and Muslim countries. High level of financial inclusion decreases the inflation rate in countries that have significant Islamic finance activity. Financial inclusion has an insignificant effect on economic welfare in majority Hindu countries. The implication of the findings is that the type of religion and the size of Islamic finance activity matter in understanding the relationship between financial inclusion and economic welfare in religious countries. |
| Keywords: | Religion, financial inclusion, Hindu, Islam, Muslim, Christianity, economic welfare, economic wellbeing, economic growth, inflation, unemployment, GDP per capita growth. |
| JEL: | G21 |
| Date: | 2025 |
| URL: | https://d.repec.org/n?u=RePEc:pra:mprapa:124262 |