Regulating Islamic Financial Institutions: The Nature of the Regulated
More than 200 Islamic financial institutions (IFIs) operate in 48 countries. Their combined assets exceed $200 billion, with an annual growth rate between 12 percent and 15 percent. The regulatory regime governing IFIs varies significantly across c...
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
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World Bank, Washington, D.C.
2013
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| Online Access: | http://documents.worldbank.org/curated/en/2004/03/3935593/regulating-islamic-financial-institutions-nature-regulated http://hdl.handle.net/10986/14732 |
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okr-10986-147322021-04-23T14:03:20Z Regulating Islamic Financial Institutions: The Nature of the Regulated El-Hawary, Dahlia Grais, Wafik Iqbal, Zamir ACCOUNTING ACCOUNTING POLICIES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACCOUNTS AGRICULTURE ALM ASSET BACKED SECURITIES AUDITING BALANCE SHEET BALANCE SHEETS BANKING SERVICES BANKING SUPERVISION BANKS CAPITAL ADEQUACY CENTRAL BANK CENTRAL BANK OF EGYPT COMPARATIVE ADVANTAGE CONCEPTUAL FRAMEWORK CREDIT RISK DEBT DEBT SECURITIES DEMAND DEPOSITS DEPOSITS ECONOMIC DEVELOPMENT ECONOMIC RELATIONS ECONOMICS ELECTRONIC FUNDS ELECTRONIC FUNDS TRANSFER EXPENDITURES EXPLOITATION FACE VALUE FINANCIAL ASSETS FINANCIAL INNOVATION FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARIES FINANCIAL INTERMEDIATION FINANCIAL SERVICES FINANCIAL SYSTEMS FINANCIAL TRANSACTIONS FOREIGN EXCHANGE GROWTH RATE INCOME INFORMATION DISCLOSURE INSURANCE INTEREST RATE INTEREST RATES INVESTMENT BANKS ISLAMIC BANK ISLAMIC BANKING LEASING LEGAL LIABILITY LIABILITY LIQUIDITY MARKET DISCIPLINE MARKET INSTRUMENTS MARKET RISK MATURITIES NET WORTH OPERATING LEASE OPERATIONAL RISK POLICY MAKERS PORTFOLIO DIVERSIFICATION PORTFOLIOS PRICE FLUCTUATIONS PROFITABILITY PROMISSORY NOTES PRUDENTIAL REGULATIONS PUBLIC POLICY REAL SECTOR REGULATORY FRAMEWORK RESERVE REQUIREMENT RESERVE REQUIREMENTS RISK AVERSION RISK MANAGEMENT RISK SHARING SAVINGS SECURITIES SHAREHOLDERS SOLVENCY SYSTEMIC RISK TAKEOVER THEORETICAL MODELS TRANSPARENCY UNIVERSAL BANKS VENTURE CAPITAL WORKING CAPITAL INTERMEDIARY FINANCIAL INSTITUTIONS FIDUCIARY RESPONSIBILITIES RISK BROKERS INTERMEDIATION WITHDRAWALS GOVERNANCE TRANSACTION SERVICES COMMODITY TRADE More than 200 Islamic financial institutions (IFIs) operate in 48 countries. Their combined assets exceed $200 billion, with an annual growth rate between 12 percent and 15 percent. The regulatory regime governing IFIs varies significantly across countries. A number of international organizations have been established with the mandate to set standards that would strengthen and harmonize prudential regulations as they apply to IFIs. The authors contribute to the discussion on the nature of prudential standards to be developed. They clarify the risks that IFIs are exposed to and the type of regulations that are needed to systematically manage them. They consider that the industry is still in a development process whose eventual outcome is the convergence of the practice of Islamic financial intermediation with its conceptual foundations. The authors contrast the risks and regulations needed in the case of Islamic financial intermediation operating according to core principles and current practice. They outline implications for approaches to capital adequacy, licensing requirements, and reliance on market discipline. They then propose an organization of the industry that would allow it to develop in compliance with its principles and prudent risk management, and facilitate its regulation. 2013-08-01T18:18:30Z 2013-08-01T18:18:30Z 2004-03 http://documents.worldbank.org/curated/en/2004/03/3935593/regulating-islamic-financial-institutions-nature-regulated http://hdl.handle.net/10986/14732 English en_US Policy Research Working Paper;No.3227 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, D.C. Publications & Research :: Policy Research Working Paper Publications & Research |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING ACCOUNTING POLICIES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACCOUNTS AGRICULTURE ALM ASSET BACKED SECURITIES AUDITING BALANCE SHEET BALANCE SHEETS BANKING SERVICES BANKING SUPERVISION BANKS CAPITAL ADEQUACY CENTRAL BANK CENTRAL BANK OF EGYPT COMPARATIVE ADVANTAGE CONCEPTUAL FRAMEWORK CREDIT RISK DEBT DEBT SECURITIES DEMAND DEPOSITS DEPOSITS ECONOMIC DEVELOPMENT ECONOMIC RELATIONS ECONOMICS ELECTRONIC FUNDS ELECTRONIC FUNDS TRANSFER EXPENDITURES EXPLOITATION FACE VALUE FINANCIAL ASSETS FINANCIAL INNOVATION FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARIES FINANCIAL INTERMEDIATION FINANCIAL SERVICES FINANCIAL SYSTEMS FINANCIAL TRANSACTIONS FOREIGN EXCHANGE GROWTH RATE INCOME INFORMATION DISCLOSURE INSURANCE INTEREST RATE INTEREST RATES INVESTMENT BANKS ISLAMIC BANK ISLAMIC BANKING LEASING LEGAL LIABILITY LIABILITY LIQUIDITY MARKET DISCIPLINE MARKET INSTRUMENTS MARKET RISK MATURITIES NET WORTH OPERATING LEASE OPERATIONAL RISK POLICY MAKERS PORTFOLIO DIVERSIFICATION PORTFOLIOS PRICE FLUCTUATIONS PROFITABILITY PROMISSORY NOTES PRUDENTIAL REGULATIONS PUBLIC POLICY REAL SECTOR REGULATORY FRAMEWORK RESERVE REQUIREMENT RESERVE REQUIREMENTS RISK AVERSION RISK MANAGEMENT RISK SHARING SAVINGS SECURITIES SHAREHOLDERS SOLVENCY SYSTEMIC RISK TAKEOVER THEORETICAL MODELS TRANSPARENCY UNIVERSAL BANKS VENTURE CAPITAL WORKING CAPITAL INTERMEDIARY FINANCIAL INSTITUTIONS FIDUCIARY RESPONSIBILITIES RISK BROKERS INTERMEDIATION WITHDRAWALS GOVERNANCE TRANSACTION SERVICES COMMODITY TRADE |
| spellingShingle |
ACCOUNTING ACCOUNTING POLICIES ACCOUNTING STANDARDS ACCOUNTING TREATMENT ACCOUNTS AGRICULTURE ALM ASSET BACKED SECURITIES AUDITING BALANCE SHEET BALANCE SHEETS BANKING SERVICES BANKING SUPERVISION BANKS CAPITAL ADEQUACY CENTRAL BANK CENTRAL BANK OF EGYPT COMPARATIVE ADVANTAGE CONCEPTUAL FRAMEWORK CREDIT RISK DEBT DEBT SECURITIES DEMAND DEPOSITS DEPOSITS ECONOMIC DEVELOPMENT ECONOMIC RELATIONS ECONOMICS ELECTRONIC FUNDS ELECTRONIC FUNDS TRANSFER EXPENDITURES EXPLOITATION FACE VALUE FINANCIAL ASSETS FINANCIAL INNOVATION FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARIES FINANCIAL INTERMEDIATION FINANCIAL SERVICES FINANCIAL SYSTEMS FINANCIAL TRANSACTIONS FOREIGN EXCHANGE GROWTH RATE INCOME INFORMATION DISCLOSURE INSURANCE INTEREST RATE INTEREST RATES INVESTMENT BANKS ISLAMIC BANK ISLAMIC BANKING LEASING LEGAL LIABILITY LIABILITY LIQUIDITY MARKET DISCIPLINE MARKET INSTRUMENTS MARKET RISK MATURITIES NET WORTH OPERATING LEASE OPERATIONAL RISK POLICY MAKERS PORTFOLIO DIVERSIFICATION PORTFOLIOS PRICE FLUCTUATIONS PROFITABILITY PROMISSORY NOTES PRUDENTIAL REGULATIONS PUBLIC POLICY REAL SECTOR REGULATORY FRAMEWORK RESERVE REQUIREMENT RESERVE REQUIREMENTS RISK AVERSION RISK MANAGEMENT RISK SHARING SAVINGS SECURITIES SHAREHOLDERS SOLVENCY SYSTEMIC RISK TAKEOVER THEORETICAL MODELS TRANSPARENCY UNIVERSAL BANKS VENTURE CAPITAL WORKING CAPITAL INTERMEDIARY FINANCIAL INSTITUTIONS FIDUCIARY RESPONSIBILITIES RISK BROKERS INTERMEDIATION WITHDRAWALS GOVERNANCE TRANSACTION SERVICES COMMODITY TRADE El-Hawary, Dahlia Grais, Wafik Iqbal, Zamir Regulating Islamic Financial Institutions: The Nature of the Regulated |
| relation |
Policy Research Working Paper;No.3227 |
| description |
More than 200 Islamic financial
institutions (IFIs) operate in 48 countries. Their combined
assets exceed $200 billion, with an annual growth rate
between 12 percent and 15 percent. The regulatory regime
governing IFIs varies significantly across countries. A
number of international organizations have been established
with the mandate to set standards that would strengthen and
harmonize prudential regulations as they apply to IFIs. The
authors contribute to the discussion on the nature of
prudential standards to be developed. They clarify the risks
that IFIs are exposed to and the type of regulations that
are needed to systematically manage them. They consider that
the industry is still in a development process whose
eventual outcome is the convergence of the practice of
Islamic financial intermediation with its conceptual
foundations. The authors contrast the risks and regulations
needed in the case of Islamic financial intermediation
operating according to core principles and current practice.
They outline implications for approaches to capital
adequacy, licensing requirements, and reliance on market
discipline. They then propose an organization of the
industry that would allow it to develop in compliance with
its principles and prudent risk management, and facilitate
its regulation. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
El-Hawary, Dahlia Grais, Wafik Iqbal, Zamir |
| author_facet |
El-Hawary, Dahlia Grais, Wafik Iqbal, Zamir |
| author_sort |
El-Hawary, Dahlia |
| title |
Regulating Islamic Financial Institutions: The Nature of the Regulated |
| title_short |
Regulating Islamic Financial Institutions: The Nature of the Regulated |
| title_full |
Regulating Islamic Financial Institutions: The Nature of the Regulated |
| title_fullStr |
Regulating Islamic Financial Institutions: The Nature of the Regulated |
| title_full_unstemmed |
Regulating Islamic Financial Institutions: The Nature of the Regulated |
| title_sort |
regulating islamic financial institutions: the nature of the regulated |
| publisher |
World Bank, Washington, D.C. |
| publishDate |
2013 |
| url |
http://documents.worldbank.org/curated/en/2004/03/3935593/regulating-islamic-financial-institutions-nature-regulated http://hdl.handle.net/10986/14732 |
| _version_ |
1764430317281607680 |