Some issues on murabahah practices in Iran and Malaysian Islamic banks

Purpose – The purpose of this paper is to analyze the nature of Murabahah contract in the fully grounded Islamic banking system i.e., Iran and Malaysia. Design/methodology/approach – The approach taken is descriptive. Findings – Although the main principle of Islamic financial institutions is proh...

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Main Authors:	Zandi Pour Joopari, GholamReza, Mohd. Ariffin, Noraini
Format:	Conference or Workshop Item
Language:	English
Published:	2011
Subjects:	HF5601 Accounting. Bookkeeping
Online Access:	http://irep.iium.edu.my/3092/ http://irep.iium.edu.my/3092/2/Some_Issues_on_Murabahah_Practices_in_Iran_and_Malaysian_Islamic_Banks.pdf

id	iium-3092
recordtype	eprints
spelling	iium-30922011-11-21T21:41:44Z http://irep.iium.edu.my/3092/ Some issues on murabahah practices in Iran and Malaysian Islamic banks Zandi Pour Joopari, GholamReza Mohd. Ariffin, Noraini HF5601 Accounting. Bookkeeping Purpose – The purpose of this paper is to analyze the nature of Murabahah contract in the fully grounded Islamic banking system i.e., Iran and Malaysia. Design/methodology/approach – The approach taken is descriptive. Findings – Although the main principle of Islamic financial institutions is prohibition of usury, it is surprised to see that Islamic financial institutions are still practicing usury in their transaction as evidenced in Iran. In the case of Malaysia however, BBA home financing is used by Islamic financial institutions and the profit rate is still dependent on the market interest rate due to arbitrage activities. Research limitation/implications – There is no transparent framework for Murabahah contract in Islamic banks. Indeed there is a need for the banking standard regulators to set a clear and disciplined framework for this type of banking contract. Originality/value – The study hopes to improve the overall competency and reliability of the Islamic banking system in the world. The finding of this study will be a basis for further research in Murabaha with respect to the regulatory environment and Shari’ah compliance in particular in Iran. 2011-07-12 Conference or Workshop Item PeerReviewed application/pdf en http://irep.iium.edu.my/3092/2/Some_Issues_on_Murabahah_Practices_in_Iran_and_Malaysian_Islamic_Banks.pdf Zandi Pour Joopari, GholamReza and Mohd. Ariffin, Noraini (2011) Some issues on murabahah practices in Iran and Malaysian Islamic banks. In: International Accounting Conference V (INTAC V), 12-13 July 2011, Pan Pacific KLIA, Malaysia.
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HF5601 Accounting. Bookkeeping
spellingShingle	HF5601 Accounting. Bookkeeping Zandi Pour Joopari, GholamReza Mohd. Ariffin, Noraini Some issues on murabahah practices in Iran and Malaysian Islamic banks
description	Purpose – The purpose of this paper is to analyze the nature of Murabahah contract in the fully grounded Islamic banking system i.e., Iran and Malaysia. Design/methodology/approach – The approach taken is descriptive. Findings – Although the main principle of Islamic financial institutions is prohibition of usury, it is surprised to see that Islamic financial institutions are still practicing usury in their transaction as evidenced in Iran. In the case of Malaysia however, BBA home financing is used by Islamic financial institutions and the profit rate is still dependent on the market interest rate due to arbitrage activities. Research limitation/implications – There is no transparent framework for Murabahah contract in Islamic banks. Indeed there is a need for the banking standard regulators to set a clear and disciplined framework for this type of banking contract. Originality/value – The study hopes to improve the overall competency and reliability of the Islamic banking system in the world. The finding of this study will be a basis for further research in Murabaha with respect to the regulatory environment and Shari’ah compliance in particular in Iran.
format	Conference or Workshop Item
author	Zandi Pour Joopari, GholamReza Mohd. Ariffin, Noraini
author_facet	Zandi Pour Joopari, GholamReza Mohd. Ariffin, Noraini
author_sort	Zandi Pour Joopari, GholamReza
title	Some issues on murabahah practices in Iran and Malaysian Islamic banks
title_short	Some issues on murabahah practices in Iran and Malaysian Islamic banks
title_full	Some issues on murabahah practices in Iran and Malaysian Islamic banks
title_fullStr	Some issues on murabahah practices in Iran and Malaysian Islamic banks
title_full_unstemmed	Some issues on murabahah practices in Iran and Malaysian Islamic banks
title_sort	some issues on murabahah practices in iran and malaysian islamic banks
publishDate	2011
url	http://irep.iium.edu.my/3092/ http://irep.iium.edu.my/3092/2/Some_Issues_on_Murabahah_Practices_in_Iran_and_Malaysian_Islamic_Banks.pdf
first_indexed	2023-09-18T20:10:47Z
last_indexed	2023-09-18T20:10:47Z
_version_	1777407462907838464

Some issues on murabahah practices in Iran and Malaysian Islamic banks

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