Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans?
This research examines the disputable Shari’ah and the technical issues underlying the implementation of the Musharakah Mutanaqisah Partnership (MMP) model in home financing by Islamic banks in Malaysia. It assesses whether this much-lauded facility is in line with Shari’ah rules and whether it dive...
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| Format: | Article |
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Emerald Publishing Limited
2017
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| Online Access: | http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/1/IJLMA-04-2016-0044%20published.pdf http://irep.iium.edu.my/58478/7/Does%20Musharakah%20Mutanaqisah%20converge%20with%20Bai%20Bithamin%20Ajil%20and%20conventional%20loans.docx.pdf |
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iium-58478 |
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eprints |
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iium-584782018-04-18T06:38:47Z http://irep.iium.edu.my/58478/ Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? Kashi, Aghilasse Mohamad, Azhar HG1501 Banking This research examines the disputable Shari’ah and the technical issues underlying the implementation of the Musharakah Mutanaqisah Partnership (MMP) model in home financing by Islamic banks in Malaysia. It assesses whether this much-lauded facility is in line with Shari’ah rules and whether it diverges from or converges to the Bay’ Bithaman Ajil (BBA) and conventional loan models. This study uses a qualitative methodology based on in-depth interviews to achieve these objectives. With regard to the issue of convergence, it is obvious from the interviewees’ perceptions that the MMP model is converging with the BBA and conventional housing loans. Many factors were mentioned as the reasons for this convergence, with the most important being that Islamic banks are not operating in a fully fledged Islamic financial system, reducing the risk weightage and regulatory restrictions. As for Shari’ah compliance, controversy may result from the enhanced features that structure this facility. Though these enhanced features are Shari’ah compliant, it transforms the MMP model into a debt rather than a partnership contract. Emerald Publishing Limited 2017-08-01 Article PeerReviewed application/pdf en http://irep.iium.edu.my/58478/1/IJLMA-04-2016-0044%20published.pdf application/pdf en http://irep.iium.edu.my/58478/7/Does%20Musharakah%20Mutanaqisah%20converge%20with%20Bai%20Bithamin%20Ajil%20and%20conventional%20loans.docx.pdf Kashi, Aghilasse and Mohamad, Azhar (2017) Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? International Journal of Law and Management, 59 (5). pp. 740-755. ISSN 1754-243X E-ISSN 1754-2448 http://www.emeraldinsight.com/doi/full/10.1108/IJLMA-04-2016-0044 10.1108/IJLMA-04-2016-0044 |
| repository_type |
Digital Repository |
| institution_category |
Local University |
| institution |
International Islamic University Malaysia |
| building |
IIUM Repository |
| collection |
Online Access |
| language |
English English |
| topic |
HG1501 Banking |
| spellingShingle |
HG1501 Banking Kashi, Aghilasse Mohamad, Azhar Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| description |
This research examines the disputable Shari’ah and the technical issues underlying the implementation of the Musharakah Mutanaqisah Partnership (MMP) model in home financing by Islamic banks in Malaysia. It assesses whether this much-lauded facility is in line with Shari’ah rules and whether it diverges from or converges to the Bay’ Bithaman Ajil (BBA) and conventional loan models. This study uses a qualitative methodology based on in-depth interviews to achieve these objectives. With regard to the issue of convergence, it is obvious from the interviewees’ perceptions that the MMP model is converging with the BBA and conventional housing loans. Many factors were mentioned as the reasons for this convergence, with the most important being that Islamic banks are not operating in a fully fledged Islamic financial system, reducing the risk weightage and regulatory restrictions. As for Shari’ah compliance, controversy may result from the enhanced features that structure this facility. Though these enhanced features are Shari’ah compliant, it transforms the MMP model into a debt rather than a partnership contract. |
| format |
Article |
| author |
Kashi, Aghilasse Mohamad, Azhar |
| author_facet |
Kashi, Aghilasse Mohamad, Azhar |
| author_sort |
Kashi, Aghilasse |
| title |
Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| title_short |
Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| title_full |
Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| title_fullStr |
Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| title_full_unstemmed |
Does Musharakah Mutanaqisah converge with Bai Bithamin Ajil and conventional loans? |
| title_sort |
does musharakah mutanaqisah converge with bai bithamin ajil and conventional loans? |
| publisher |
Emerald Publishing Limited |
| publishDate |
2017 |
| url |
http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/ http://irep.iium.edu.my/58478/1/IJLMA-04-2016-0044%20published.pdf http://irep.iium.edu.my/58478/7/Does%20Musharakah%20Mutanaqisah%20converge%20with%20Bai%20Bithamin%20Ajil%20and%20conventional%20loans.docx.pdf |
| first_indexed |
2023-09-18T21:22:42Z |
| last_indexed |
2023-09-18T21:22:42Z |
| _version_ |
1777411987480772608 |