islamic banking

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Title: islamic banking

Essay Details:

Subject: Business

Author:

Date: March 22, 2015

Level: University

Grade: B

Length: 1 / 249

Essay text:

However, the industry grows in an environment already saturated with numerous large incumbents whose interest rates currently dictate the Islamic banks’ rates of return. The other key issues with regard to Islamic banking are that the reasons for participating in the industry will be reduced to religious and ethical concerns in the long run, and intrinsic problems in the Profit-and-Loss Sharing paradigm upon which the banking operations are based. The industry also faces significant long-run challenges, such as a lack of a convincing macroeconomic theory based on Islamic principles, and an acute lack of qualified Sharia scholars, which may together constrain the growth of the industry...

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