Islamic Finance: Revisiting the Value Proposition

Authors

  • Habib Ahmed Ph.D. (Economics), Professor, Sharjah Chair in Islamic Law & Finance Durham University Business School, Mill Hill Lane, Durham DH1 3LB, UK

Keywords:

Maqasid al Shariah, Legal Compliance, Ethical and Social Value

Abstract

The pioneers of Islamic economics envisioned that an economy based on Islamic values and principles would strive to fulfill the goals of Shari’ah (maqasid al-Shari’ah) and fulfill the aim of Islamic law of promoting welfare or benefit (maslahah) of mankind and prevent harm (mafsadah). The practice of the Islamic finance, however, has been to become a ‘prohibition-driven industry’ focussing primarily on avoiding the prohibitions of riba and gharar. Ignoring the foundational values and focussing only on legal compliance makes the industry devoid of its essence and spirit. If the industry fails to promote the foundational values, it will fail to claim its uniqueness as being a positive ethical and social force in the economy.

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Published

14-12-2018

How to Cite

Ahmed, H. (2018). Islamic Finance: Revisiting the Value Proposition. Journal of Islamic Studies, Prince of Songkla University, 9(2), 22–28. Retrieved from https://so03.tci-thaijo.org/index.php/JOIS/article/view/188399

Issue

Vol. 9 No. 2 (2018): July - December

Section

Academic Articles

License

All articles Published in The Journal of Islamic Studies are author’s opinions, and not the responsibility of the Faculty of Islamic Sciences nor the editorial board. However any citation should be referred to the journal.