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Kuala Lumpur Declaration and Maqasid Al Shari'ah - Déjà vu?

A very warm welcome back to the second edition of my blog. I was torn between the above title and an alternative of “Back to the future”, but decided to show off my modest grasp of the French language! The point of the title is to draw your attention to something we have seen before and perhaps, have not paid as much attention to as we should. Let me continue.About a month ago I was having a detailed discussion with one of our senior professors on the state of play regarding Responsible Finance, Risk Sharing, and The Islamicity Index and fulfilling the objectives of Maqasi...

Daud Vicary | May 25, 2016

Kuala Lumpur Declaration and Maqasid Al Shari'ah - Déjà vu?

Kuala Lumpur Declaration and Maqasid Al Shari'ah - Déjà vu?

A very warm welcome back to the second edition of my blog. I was torn between the above title and an alternative of “Back to the future”, but decided to show off my modest grasp of the French language! The point of the title is to draw your attention to something we have seen before and perhaps, have not paid as much attention to as we should. Let me continue.About a month ago I was having a detailed discussion with one of our senior professors on the state of play regarding Responsible Finance, Risk Sharing, and The Islamicity Index and fulfilling the objectives of Maqasi...

Daud Vicary | May 25, 2016

Shari'ah Ratings on Islamic Financial Products

 What is Shari'ah rating:Shari'ah rating is a process the purpose of which is to provide the public with an independent appraisal that assesses the commitment of the management of a financial institution to follow Shari'ah injunctions in their business and to avail Muslims with an unbiased opinion on the Shari'ah quality of the Islamic banking and financial products offered to the public by that institution.Shari'ah rating is fundamentally different from traditional “credit rating” which assesses the ability of a bank, a company or a bond issuer to fulfill its obligation...

Dr. Mohamed Ali Elgari | May 16, 2016

Shari'ah Ratings on Islamic Financial Products

Shari'ah Ratings on Islamic Financial Products

 What is Shari'ah rating:Shari'ah rating is a process the purpose of which is to provide the public with an independent appraisal that assesses the commitment of the management of a financial institution to follow Shari'ah injunctions in their business and to avail Muslims with an unbiased opinion on the Shari'ah quality of the Islamic banking and financial products offered to the public by that institution.Shari'ah rating is fundamentally different from traditional “credit rating” which assesses the ability of a bank, a company or a bond issuer to fulfill its obligation...

Dr. Mohamed Ali Elgari | May 16, 2016

Riba (Interest) in Islam and Other Major Religions

Defining RibaThe Holy Qur'an did not give any definition for the term for the simple reason that it was well known to its immediate audience. It is like the prohibition of pork, liquor, gambling, adultery etc., which were imposed without giving any hard and fast definition because all these terms were well known and there was no ambiguity in their meaning. The case of riba was similar. It was not a term foreign to Arabs. They all used the term in their mutual transactions. Not only Arabs but all the previous societies used to practice it in their financial dealings and nobody had any...

Mohammad Nahid Imam | May 02, 2016

Riba (Interest) in Islam and Other Major Religions

Riba (Interest) in Islam and Other Major Religions

Defining RibaThe Holy Qur'an did not give any definition for the term for the simple reason that it was well known to its immediate audience. It is like the prohibition of pork, liquor, gambling, adultery etc., which were imposed without giving any hard and fast definition because all these terms were well known and there was no ambiguity in their meaning. The case of riba was similar. It was not a term foreign to Arabs. They all used the term in their mutual transactions. Not only Arabs but all the previous societies used to practice it in their financial dealings and nobody had any...

Mohammad Nahid Imam | May 02, 2016

STARS: A Framework for Islamic Finance Development

I have been active in the field of Islamic Finance for a number of years now and during that time have been asked many questions. The most frequent question has been “Do I have to be a Muslim to participate in Islamic Finance?” The answer to which, I am sure you all know, is NO you do not. Islamic Finance is for the benefit of all humanity.Leading on from this and probably the second most frequent question I get asked, goes along the lines of “What is it that you have to do to set up Islamic Finance in a country?” The answer to that is the subject of this, my firs...

Daud Vicary | April 20, 2016

STARS: A Framework for Islamic Finance Development

STARS: A Framework for Islamic Finance Development

I have been active in the field of Islamic Finance for a number of years now and during that time have been asked many questions. The most frequent question has been “Do I have to be a Muslim to participate in Islamic Finance?” The answer to which, I am sure you all know, is NO you do not. Islamic Finance is for the benefit of all humanity.Leading on from this and probably the second most frequent question I get asked, goes along the lines of “What is it that you have to do to set up Islamic Finance in a country?” The answer to that is the subject of this, my firs...

Daud Vicary | April 20, 2016

The Diary of a Shariah Scholar

Editor’s Note: This is an excerpt from the book “Shariah Minds in Islamic Finance” by Datuk Dr Mohd Daud Bakar. The recently launched book provides a unique and powerful insight into the world of Islamic Finance, by one of the leading Shariah scholars.I used to share the details of my travelling arrangements with some of my colleagues, friends and family members, and sometimes with the media. Most of them immediately responded, “We don’t envy your travelling commitments”. What a remark. This part of the scholar’s life, week in and week out, may not...

Dr. Mohd Daud Bakar | April 14, 2016

The Diary of a Shariah Scholar

The Diary of a Shariah Scholar

Editor’s Note: This is an excerpt from the book “Shariah Minds in Islamic Finance” by Datuk Dr Mohd Daud Bakar. The recently launched book provides a unique and powerful insight into the world of Islamic Finance, by one of the leading Shariah scholars.I used to share the details of my travelling arrangements with some of my colleagues, friends and family members, and sometimes with the media. Most of them immediately responded, “We don’t envy your travelling commitments”. What a remark. This part of the scholar’s life, week in and week out, may not...

Dr. Mohd Daud Bakar | April 14, 2016

The Instability of the Financial System and the Coming Financial Crisis

A webinar by Tariq Al-Rifai in March 2016, on the instability of the financial system and the coming financial crisis:

IB Insights | April 06, 2016

The Instability of the Financial System and the Coming Financial Crisis

The Instability of the Financial System and the Coming Financial Crisis

A webinar by Tariq Al-Rifai in March 2016, on the instability of the financial system and the coming financial crisis:

IB Insights | April 06, 2016

Risk sharing and risk shifting

Classical sources of Islam prohibit interest transactions but encourage business partnerships and trade. While interest transactions shift risks from the capitalist to the entrepreneur, partnerships lead the two to share them. Thus, it follows that Islam prefers risk sharing to risk shifting. [2]Since it is the risks which generate profits and losses, it follows that when risks are shared, profits and losses are also shared. Therefore, risk sharing leads to a share economy, that's what an Islamic economy is supposed to be all about.But all of this is theory. What about application?...

Murat Cizakca | April 06, 2016

Risk sharing and risk shifting

Risk sharing and risk shifting

Classical sources of Islam prohibit interest transactions but encourage business partnerships and trade. While interest transactions shift risks from the capitalist to the entrepreneur, partnerships lead the two to share them. Thus, it follows that Islam prefers risk sharing to risk shifting. [2]Since it is the risks which generate profits and losses, it follows that when risks are shared, profits and losses are also shared. Therefore, risk sharing leads to a share economy, that's what an Islamic economy is supposed to be all about.But all of this is theory. What about application?...

Murat Cizakca | April 06, 2016

Invitation to attend AAOIFI International Conference in Madinah AlMonwwarah

It gives us a great pleasure to invite you to attend AAOIFI’s International Conference, marking its 25th anniversary, that convenes under the broad title: “The Islamic Finance Industry: 40 Years Since Inception, Evaluation of the Experience and the Way Forward”. The conference will be held under the auspices of HRH Prince Faysal bin Salman bin Abdul Aziz Al Saud, Prince of al-Madinah Province, and in partnership with the Emirate of al-Madinah. It is also officially sponsored by the Capital Market Authority.Venue: Grand Conference Ballroom, Taiba University, al-MadinahDa...

Dr. Hamed Merah | March 31, 2016

Invitation to attend AAOIFI International Conference in Madinah AlMonwwarah

Invitation to attend AAOIFI International Conference in Madinah AlMonwwarah

It gives us a great pleasure to invite you to attend AAOIFI’s International Conference, marking its 25th anniversary, that convenes under the broad title: “The Islamic Finance Industry: 40 Years Since Inception, Evaluation of the Experience and the Way Forward”. The conference will be held under the auspices of HRH Prince Faysal bin Salman bin Abdul Aziz Al Saud, Prince of al-Madinah Province, and in partnership with the Emirate of al-Madinah. It is also officially sponsored by the Capital Market Authority.Venue: Grand Conference Ballroom, Taiba University, al-MadinahDa...

Dr. Hamed Merah | March 31, 2016

Can Finance Be Socially Conscious?

Courtesy of the Islamic Finance and Ethics Society. The first student-led Islamic finance conference - a great job by the IFES!This video was recorded at the London School of Economics on 27 February 2016.

Harris Irfan | March 23, 2016

Can Finance Be Socially Conscious?

Can Finance Be Socially Conscious?

Courtesy of the Islamic Finance and Ethics Society. The first student-led Islamic finance conference - a great job by the IFES!This video was recorded at the London School of Economics on 27 February 2016.

Harris Irfan | March 23, 2016

The Future of Islamic Finance in Britain

Courtesy of the Islamic Finance and Ethics Society. This video was recorded at the London School of Economics on 27 February 2016.

Harris Irfan | March 22, 2016

The Future of Islamic Finance in Britain

The Future of Islamic Finance in Britain

Courtesy of the Islamic Finance and Ethics Society. This video was recorded at the London School of Economics on 27 February 2016.

Harris Irfan | March 22, 2016