This study examines the role of microfinance from the business and social lenses by using the creating shared value (CSV) framework in the context of Indonesia.
Examining the Role of Microfinance: A Creating Shared Value Perspective
Sukuk in Islamic Capital Markets
Sukuk is the plural of “Sak”, which means: “document or certificate”. During the period of Marwan Bin Huqam, the certificate issued to people to get rations from the Treasury were called “Sukuk”. But, the modern meaning of Sukuk is different. In contemporary Islamic finance terms, Sukuk means:
Paradox: Trade-off Between Shari’ah Compliance and Price Competitiveness
Shari’ah compliance in Islamic banking is necessary. However, achieving that requires certain additional operations and costs which may lead to Islamic banks incurring some additional costs which conventional banks simply avoid. This may make Islamic banks to become costlier than conventional banks and which will reflect in weak position in price competitiveness.
اسلامی مالیات میں وینچر کیپیٹل فنڈز کا استعمال
اسلامی اقتصادی نظام میں سرمائے کا کوئی مقررہ معاوضہ نہیں ہے۔ لہذا، پیداوار کے عمل سے پیدا ہونے والے حقیقی منافع میں سرمایہ کو اپنا حصہ مل سکتا ہے مگر جس کے لیے ضروری ہے کہ سرمایہ نفع نقصان میں شامل ہو۔ اس سے پیداواری سرگرمیوں مں سرمایہ کاری بڑھتی ہے اور سرمایہ کاری کے نفع بخش ہونے کے لیے صرف ایک فریق یعنی قرض دار ہی نہیں بلکہ تمام سرمایہ دار مل کر سرمایہ کاری کے نفع بخش ہونے کے لیے محنت اور جدوجہد کرتے ہیں۔ اس سے آمدنی کے ساتھ ساتھ دولت کی تقسیم پر بھی مثبت اثرات مرتب ہوسکتے ہیں۔
Financing Microenterprises with Islamic Social Finance Instruments
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.
Profit and Loss Sharing Two Tier Mudarabah
This paper mathematically analyzes the two-tier Mudarabah model in an exclusive Islamic financial environment and under dual banking system.
Role of Istihsan in Applying Maslahah in Islamic Finance
This paper identifies the role of Istihsan in Islamic finance that should be emphasized to strengthen the element of Shari’ah compliance.
Islamic Social Finance and Commercial Finance: A Marriage Made in Heaven
This paper aims to explore different forms and models of integration between Islamic commercial finance and social finance including the problem that arise as well as the solution of each of the models to promote inclusive economic growth.
Islamic Finance Involvement in Supply Chain of Financed Assets
This paper is a novel attempt to analyze the involvement of Islamic financial institutions in supply chain of financed assets. It argues that since Islamic bank has to have ownership and possession of the asset besides undertaking risk of the asset in trade and lease contracts, Islamic bank has to engage more intently in supply chain than the conventional bank.
Prohibition of Interest in the Context of Böhm-Bawerk’s Time Preference Theory of Interest
This paper discusses the theory of interest espoused by Böhm-Bawerk. He described time preference as the origin of the legitimacy of the existence of interest. Time preference is defined as people’s attribution of more value to present goods than future goods with the same quality and quantity. Future goods can be consumed only in the future, whereas present goods can be consumed both now and in the future.
Islamic Economics Project 