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Byline: Muhammad Zeeshan Farrukh When we talk about Islamic Banking and Finance, we must first understand the reality and need of Islamic Banking and finance in the present world. In [...]

Byline: Ahsan Nisar When we talk about implementation and practice of Islamic economic system as a whole, we must look at every aspect of Islam as well. Marketing is one [...]

Islamic finance is emerging as a rapidly growing part of the financial sector in the Islamic world. The Islamic financial system follows a set of rules and laws, collectively referred to as 'shariah,' governing economic, social, political and cultural aspects of Islamic societies. It is based on the principles of interest prohibition, risk sharing, prohibition of speculative behavior, sanctity of contracts, money as 'potential' capital, and shariah-approved activities. According to some estimates, over 100 financial institutions in over 45 countries practice some form of Islamic finance. The market's annual turnover is placed at around $70 billion and is expected to reach $100 billion by the end of the 20th century. The further growth and development of the Islamic financial system will depend largely on the nature of innovations introduced in the market. Some of these are discussed.

Business and religion are not usually mixed, but this is gradually changing with the emergence of a new breed of religious business people who feel that the evils of capitalism can best be dealt with from within the business world itself. Several organizations have already been established to support adherents of different religions who operate in the business sector. These organizations include the International Christian Chamber of Commerce and London's Nichiren Shoshu City Business Group. The Crescent investment plan has been established to guide Muslims in saving according to the Koran. The Jewish business community has a highly developed code of business ethics. Religious fundamentalists may yet succeed in keeping capitalist greed in check.

Over the past decade growth in the Islamic banking system has outstripped that of conventional Arab banking. Today there are about 150 Islamic banking institutions throughout the world. Yet despite [...]

Domestic and international political issues are hindering progress in Iran's oil and gas sector, despite some recent developments on specific projects and a successful energy courtship with India and China. [...]

ISLAMIC banking has achieved some remarkable advances during the past 20 years as the system has emerged from the realms of theory into the realities of the modern world. More [...]

Kohilal is a Malaysian firm that specializes in producing food and household items that are halal, meaning that they conform to Islamic beliefs, and in selling these products to the country's 10 million Muslims. Chmn Ismail Abdullah believes that the firm's success proves that profitability can be compatible with Islam. The company claims a 20% profit margin for 1992, but in accordance with the Koran all earnings are reinvested for the socio-economic benefit of Malaysians. Kohilal is closely associated with Parti Islam, Malaysia's opposition Islamic fundamentalist party.

The positive correlation between Islamic practices and economic development is discussed.