Repo transactions are not compliant with Islamic principles due to the buyback nature of transaction plus the use of interest based securities as underlying assets. However, in commercial contracts where Islamic banks would like to earn return, there is need for a pricing benchmark to mitigate risk as well as ensure transparency in the contract.
Author argues in the paper that the principles of good corporate governance (GCG) in Islam are more stakeholder oriented than shareholder oriented. It implies that maximizing shareholder wealth is one goal among the many for the corporation in Islamic perspective. It shall fulfil responsibilities towards other stakeholders including internal and external stakeholders.
Scientism regards science as the only source of true and valid knowledge. This view undermines the knowledge of values, ethics and norms. It replaces objective morality with subjective morals which can be tweaked by a minority of individuals in a human society with no accountability to any objective code of ethics.
How Religion Becomes Important for Economics? This question can be answered through four postulates which summarize how religion and economics come across each other.
The third International Divine Economics Conference, organized by the Islamic Social Sciences Forum (ISF) of Hadi Foundation in collaboration with esteemed universities and AJK Medical College, commenced with great enthusiasm in the month of May, 2023 in capital city of AJK, Muzaffarabad.
Human behaviour, consumption and business activities have been identified as the main cause of the climate crisis the earth is facing at present, having seriously detrimental effects on the earth’s bio capacity to sustain life. These effects, referred to as anthropogenic impacts, are causing degradation of the globally shared public resource known as natural capital.
The aim of Islamic social finance is to support socio-economic empowerment, progress, and the development of society. Pooling resources from social finance instruments, like Zakat (alms giving), Waqf (endowments), Qardh al-hasan (interest free benevolent lending), Takaful, and Sadaqah (charity), can establish and lead to growth of lower-income micro-enterprises in the country.
Reflections from Al-Ghazali
Excerpts from A Treasury of Ghazali
Published by Kube Publishing and Distributed in Pakistan by Institute of Policy Studies Press
This paper discusses the concept of Waqf and university endowments. The author highlights that contemporary university endowments take their inspiration from the concept of Waqf.
In this paper, authors opine that Islamic economics literature exclusively attributes pure altruism to Muslims. It contrasts homo economicus with homo-Islamicus. Authors try to show through empirical evidence that giving behaviour is not much different among Muslims and non-Muslim in Europe.
This paper mathematically analyzes the two-tier Mudarabah model in an exclusive Islamic financial environment and under dual banking system.
Islamic Economics Project 