Islamic Monetary Economics and Institutions: Theory and Practice

✍ Scribed by Muhamed Zulkhibri, Turkhan Ali Abdul Manap, Aishath Muneeza

• Publisher: Springer International Publishing
• Year: 2019
• Tongue: English
• Leaves: 214
• Edition: 1st ed. 2019
• Category: Library

✦ Synopsis

This edited volume explores theoretical and empirical issues related to monetary economics and policy in the Islamic financial system. Derived from the Conference on Islamic Monetary Economics and Institutions: Theory and Practice 2017 held in Malé, Maldives, the enclosed papers highlights several option for authorities and regulatory bodies regarding monetary policy and regulation, as well as discussing how Islamic monetary policy effects growth, financial stability and resilience to shocks in practice. The inter-linkage between Islamic monetary policy and other markets are also explored.
The subject of Islamic economics has gained considerable attention in the last four decades with the emergence of Islamic financial institutions around the world. This phenomenon has motivated economists to develop a comprehensive theoretical framework of modern monetary economics for Islamic economic system. An important characteristic of the Islamic economic system is the abolition of interest from the financial system. Islamic monetary economics is distinguished from conventional monetary economics due to the absence of interest. Therefore, under the Islamic economic system, monetary policy has to depend on other tools. In the early theoretical literature on Islamic monetary economics, many have discussed the role of money in Islamic economics system, while the number of empirical studies on Islamic monetary economics is a relatively new phenomenon. According to Islamic scholars, there are three main goals of Islamic monetary policy: a) economic well-being with full employment and optimum rate of economic growth; b) socioeconomic justice and equitable distribution of income and wealth and c) stability in the value of money. Hence, the Islamic monetary policy has several socioeconomic and ethical implications. Featuring regional case studies, this book serves as a valuable resource for academics, scholars, practitioners and policy makers in the areas of Islamic economics and finance.

✦ Table of Contents

Front Matter ....Pages i-xxiii
Introduction (Muhamed Zulkhibri, Turkhan Ali Abdul Manap)....Pages 1-7
Front Matter ....Pages 9-9
Monetary Economics and Macroeconomic Model for an Islamic Economy (M. Fahim Khan)....Pages 11-37
Islamic Monetary Economics: Insights from the Literature (Md. Akther Uddin)....Pages 39-53
On Normative and Logical Foundations of Monetary Policy ( Atiq-ur-Rehman)....Pages 55-64
Historical and Ideological Peculiarity of the Monetary Institutions: Islamic and Austrian School’s Perspectives (Omar Javaid)....Pages 65-85
Front Matter ....Pages 87-87
Islamic Finance and Participatory Financing Constraints in Pakistan (Azam Ali, Tanveer Kishwar, Muhamed Zulkhibri)....Pages 89-108
Pricing Deposit Insurance Premium in Islamic Banks (Ibrahim A. Onour)....Pages 109-116
Rate of Profit as a Monetary Policy Tool for Financial Stability (Trisiladi Supriyanto)....Pages 117-136
Stress Testing and Reverse Stress Testing: An Approach for a Resilient Islamic Financial Industry (Samir Alamad)....Pages 137-157
Liquidity Risk Management in Islamic Banks: Evidences from Malaysia (Muhammed Habib Dolgun, Adam Ng)....Pages 159-179
Fintech-Enabled Islamic Financial System and Financial Stability (Etsuaki Yoshida)....Pages 181-192
Back Matter ....Pages 193-201

✦ Subjects

Economics; Middle Eastern and North African Economics; Macroeconomics/Monetary Economics//Financial Economics; Economic Growth; Islamic Finance