Advancing modes of equity participation in Islamic finance: problems and measures

Facilitating equity participation in trade and other undertakings that help the real fruits of ventures spread among a larger segment of the society while dividing the inherent risk is an important facet of an Islamic financial system. Several decades after their appearance in the scene of banking a...

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Main Author:	Sadique, Muhammad Abdurrahman
Format:	Article
Language:	English
Published:	Zesdyzar Rokman Resources 2015
Subjects:	HG Finance HG1501 Banking KBP173.25 Islamic law and other disciplines or subjects KBP639 Muʻāmalāt
Online Access:	http://irep.iium.edu.my/44733/ http://irep.iium.edu.my/44733/ http://irep.iium.edu.my/44733/1/KLIBEL7_Law-42.pdf

id	iium-44733
recordtype	eprints
spelling	iium-447332017-08-07T02:31:50Z http://irep.iium.edu.my/44733/ Advancing modes of equity participation in Islamic finance: problems and measures Sadique, Muhammad Abdurrahman HG Finance HG1501 Banking KBP173.25 Islamic law and other disciplines or subjects KBP639 Muʻāmalāt Facilitating equity participation in trade and other undertakings that help the real fruits of ventures spread among a larger segment of the society while dividing the inherent risk is an important facet of an Islamic financial system. Several decades after their appearance in the scene of banking and finance, Islamic banks continue to use debt-financing tools widely, and have not so far been successful in implementing equity modes in a significant manner. The reality of equity financing becoming merged with debt-oriented practices due to erroneous or weak structures gaining currency may prove harmful to the cause of Islamic finance in the long-term. Many equity formats in vogue embody features that inhibit them from optimum performance. With growing awareness of the negative facets of debt financing, scope for equity modes could expand in the near future. It is essential that necessary guidelines are laid down and complexities dealt with in time for ready application. The paper explores problems related to implementing equity based structures, and highlights the measures to be adopted for advancement of equity financing. Zesdyzar Rokman Resources 2015-08 Article PeerReviewed application/pdf en http://irep.iium.edu.my/44733/1/KLIBEL7_Law-42.pdf Sadique, Muhammad Abdurrahman (2015) Advancing modes of equity participation in Islamic finance: problems and measures. International Journal of Business, Economics and Law, 7 (4). pp. 100-105. ISSN 2289-1552 http://ijbel.com/previous-issues/september-2015/vol-7-august-2015-issue-4-law/
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English
topic	HG Finance HG1501 Banking KBP173.25 Islamic law and other disciplines or subjects KBP639 Muʻāmalāt
spellingShingle	HG Finance HG1501 Banking KBP173.25 Islamic law and other disciplines or subjects KBP639 Muʻāmalāt Sadique, Muhammad Abdurrahman Advancing modes of equity participation in Islamic finance: problems and measures
description	Facilitating equity participation in trade and other undertakings that help the real fruits of ventures spread among a larger segment of the society while dividing the inherent risk is an important facet of an Islamic financial system. Several decades after their appearance in the scene of banking and finance, Islamic banks continue to use debt-financing tools widely, and have not so far been successful in implementing equity modes in a significant manner. The reality of equity financing becoming merged with debt-oriented practices due to erroneous or weak structures gaining currency may prove harmful to the cause of Islamic finance in the long-term. Many equity formats in vogue embody features that inhibit them from optimum performance. With growing awareness of the negative facets of debt financing, scope for equity modes could expand in the near future. It is essential that necessary guidelines are laid down and complexities dealt with in time for ready application. The paper explores problems related to implementing equity based structures, and highlights the measures to be adopted for advancement of equity financing.
format	Article
author	Sadique, Muhammad Abdurrahman
author_facet	Sadique, Muhammad Abdurrahman
author_sort	Sadique, Muhammad Abdurrahman
title	Advancing modes of equity participation in Islamic finance: problems and measures
title_short	Advancing modes of equity participation in Islamic finance: problems and measures
title_full	Advancing modes of equity participation in Islamic finance: problems and measures
title_fullStr	Advancing modes of equity participation in Islamic finance: problems and measures
title_full_unstemmed	Advancing modes of equity participation in Islamic finance: problems and measures
title_sort	advancing modes of equity participation in islamic finance: problems and measures
publisher	Zesdyzar Rokman Resources
publishDate	2015
url	http://irep.iium.edu.my/44733/ http://irep.iium.edu.my/44733/ http://irep.iium.edu.my/44733/1/KLIBEL7_Law-42.pdf
first_indexed	2023-09-18T21:03:35Z
last_indexed	2023-09-18T21:03:35Z
_version_	1777410784793460736

Advancing modes of equity participation in Islamic finance: problems and measures

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