Developing Islamic Finance in the Philippines
This report was prepared as part of the World Bank engagement in the Philippines to support Islamic Finance and Financial Inclusion. It provides an overview on the context for the development of Islamic finance in the Philippines and is accompanied...
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| Format: | Report |
| Language: | English en_US |
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World Bank, Washington, DC
2016
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| Online Access: | http://documents.worldbank.org/curated/en/2016/06/26457891/developing-islamic-finance-philippines http://hdl.handle.net/10986/24677 |
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okr-10986-24677 |
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oai_dc |
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Digital Repository |
| institution_category |
Foreign Institution |
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Digital Repositories |
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World Bank Open Knowledge Repository |
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World Bank |
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English en_US |
| topic |
MONETARY POLICY FINANCIAL SERVICES DEPOSIT CAPITAL MARKETS REGULATORY FRAMEWORK ACCOUNTING DEPOSITS ISLAMIC BANK FINANCIAL DEEPENING ISLAMIC INVESTMENTS DIRECT FINANCING CONVENTIONAL BANKING AUTONOMY INTEREST PRIVATIZATION INDUSTRY REMITTANCE EXCHANGE BANKING SYSTEM CAPITAL BASE ISLAMIC FINANCIAL PRODUCTS ISSUANCES LIQUIDITY BANKING SERVICES INTERNATIONAL FINANCIAL MARKETS SERVICES REVENUES PORTFOLIO MARKET SIZE EQUITY FINANCING INSURANCE CORPORATION MARKET INSTRUMENTS DEBT SECURITY LOAN CAPACITY BUILDING REMITTANCE SERVICES PROJECTS TAX TURNOVERS ISLAMIC FINANCE ISLAMIC FUNDS INTERNATIONAL BANK FOREIGN INVESTMENTS INSTRUMENTS MUNICIPALITIES ENABLING ENVIRONMENT MATURITY PUBLIC POLICY SUKUK OIL PRICES IMMUNIZATION PRUDENTIAL STANDARDS RESOURCE MOBILIZATION CONTRACTS ISLAMIC FINANCIAL MARKETS TRADING MIGRATION DEPOSIT ACCOUNTS GLOBALIZATION FINANCIAL LEASING FINANCIAL INSTITUTIONS MARKETS DEBT OPERATING EXPENSES RETURN LEGISLATION DEPOSIT INSURANCE LAND OWNERSHIP RISK SHARING OPERATING LOSSES FINANCIAL SYSTEM LEGAL FRAMEWORK FINANCE INFRASTRUCTURE BANKING SECTOR BANKS ISLAMIC DEVELOPMENT BANK PROFIT MARGIN TRANSACTIONS EQUITY AUTOMATED TELLER MACHINES TRANSACTION GOOD ISLAMIC BANKING SYSTEM OPERATING COSTS FINANCIAL TRANSACTIONS ISLAMIC INSTRUMENTS ISLAMIC FINANCIAL INSTITUTIONS FUTURE VALUE ISLAMIC BANKS BANK RETURNS CREDIT INVESTMENT BANK ISLAMIC CAPITAL ISLAMIC BANKING FINANCIAL INSTRUMENTS SUPERVISORY FRAMEWORK CAPITALIZATION CONTRACT UNDERLYING ASSETS EXPENDITURES MANDATES LIQUIDITY MANAGEMENT ISSUANCE UNIVERSAL BANKS LOAN PORTFOLIO FINANCIAL SERVICE PROVIDERS FOREIGN BANKS SHARES SPOT MARKET MARKET ISLAMIC FINANCIAL INSTRUMENTS MONEY MARKETS FOREIGN EXCHANGE ISLAMIC INVESTMENT ISLAMIC FINANCIAL SERVICES SECURITIES TREASURY SUBSIDIARY GOVERNANCE INSURANCE MICROFINANCE GOVERNMENT POLICIES ECONOMIC DEVELOPMENT INVESTMENT INSTRUMENTS UNSECURED DEBT BANKING ASSETS UNIVERSAL BANK INVESTOR LAND SECURITY TRUSTEE EQUITY MARKETS PURE DEBT INVESTMENT RISK INVESTMENT BANKING NET LOSSES COMMERCIAL BANKS SHARE MICRO-FINANCE BANKING INSTITUTION POVERTY FINANCIAL MARKETS TANGIBLE ASSETS INTERNATIONAL STANDARD BANKING NET LOSS FINANCIAL ASSETS ISLAMIC CAPITAL MARKETS BANK SUPERVISION MONEY MARKET PROFIT MONEY MARKET INSTRUMENTS FINANCIAL SUPPORT INVESTMENTS TAX TREATMENT LENDING TRUST FUND PROFITS GAMBLING LIABILITIES ISLAMIC LAW CREDIT SALES DEVELOPMENT BANK AUDITING |
| spellingShingle |
MONETARY POLICY FINANCIAL SERVICES DEPOSIT CAPITAL MARKETS REGULATORY FRAMEWORK ACCOUNTING DEPOSITS ISLAMIC BANK FINANCIAL DEEPENING ISLAMIC INVESTMENTS DIRECT FINANCING CONVENTIONAL BANKING AUTONOMY INTEREST PRIVATIZATION INDUSTRY REMITTANCE EXCHANGE BANKING SYSTEM CAPITAL BASE ISLAMIC FINANCIAL PRODUCTS ISSUANCES LIQUIDITY BANKING SERVICES INTERNATIONAL FINANCIAL MARKETS SERVICES REVENUES PORTFOLIO MARKET SIZE EQUITY FINANCING INSURANCE CORPORATION MARKET INSTRUMENTS DEBT SECURITY LOAN CAPACITY BUILDING REMITTANCE SERVICES PROJECTS TAX TURNOVERS ISLAMIC FINANCE ISLAMIC FUNDS INTERNATIONAL BANK FOREIGN INVESTMENTS INSTRUMENTS MUNICIPALITIES ENABLING ENVIRONMENT MATURITY PUBLIC POLICY SUKUK OIL PRICES IMMUNIZATION PRUDENTIAL STANDARDS RESOURCE MOBILIZATION CONTRACTS ISLAMIC FINANCIAL MARKETS TRADING MIGRATION DEPOSIT ACCOUNTS GLOBALIZATION FINANCIAL LEASING FINANCIAL INSTITUTIONS MARKETS DEBT OPERATING EXPENSES RETURN LEGISLATION DEPOSIT INSURANCE LAND OWNERSHIP RISK SHARING OPERATING LOSSES FINANCIAL SYSTEM LEGAL FRAMEWORK FINANCE INFRASTRUCTURE BANKING SECTOR BANKS ISLAMIC DEVELOPMENT BANK PROFIT MARGIN TRANSACTIONS EQUITY AUTOMATED TELLER MACHINES TRANSACTION GOOD ISLAMIC BANKING SYSTEM OPERATING COSTS FINANCIAL TRANSACTIONS ISLAMIC INSTRUMENTS ISLAMIC FINANCIAL INSTITUTIONS FUTURE VALUE ISLAMIC BANKS BANK RETURNS CREDIT INVESTMENT BANK ISLAMIC CAPITAL ISLAMIC BANKING FINANCIAL INSTRUMENTS SUPERVISORY FRAMEWORK CAPITALIZATION CONTRACT UNDERLYING ASSETS EXPENDITURES MANDATES LIQUIDITY MANAGEMENT ISSUANCE UNIVERSAL BANKS LOAN PORTFOLIO FINANCIAL SERVICE PROVIDERS FOREIGN BANKS SHARES SPOT MARKET MARKET ISLAMIC FINANCIAL INSTRUMENTS MONEY MARKETS FOREIGN EXCHANGE ISLAMIC INVESTMENT ISLAMIC FINANCIAL SERVICES SECURITIES TREASURY SUBSIDIARY GOVERNANCE INSURANCE MICROFINANCE GOVERNMENT POLICIES ECONOMIC DEVELOPMENT INVESTMENT INSTRUMENTS UNSECURED DEBT BANKING ASSETS UNIVERSAL BANK INVESTOR LAND SECURITY TRUSTEE EQUITY MARKETS PURE DEBT INVESTMENT RISK INVESTMENT BANKING NET LOSSES COMMERCIAL BANKS SHARE MICRO-FINANCE BANKING INSTITUTION POVERTY FINANCIAL MARKETS TANGIBLE ASSETS INTERNATIONAL STANDARD BANKING NET LOSS FINANCIAL ASSETS ISLAMIC CAPITAL MARKETS BANK SUPERVISION MONEY MARKET PROFIT MONEY MARKET INSTRUMENTS FINANCIAL SUPPORT INVESTMENTS TAX TREATMENT LENDING TRUST FUND PROFITS GAMBLING LIABILITIES ISLAMIC LAW CREDIT SALES DEVELOPMENT BANK AUDITING Mylenko, Nataliya Iqbal, Zamir Developing Islamic Finance in the Philippines |
| geographic_facet |
East Asia and Pacific Philippines |
| description |
This report was prepared as part of the
World Bank engagement in the Philippines to support Islamic
Finance and Financial Inclusion. It provides an overview on
the context for the development of Islamic finance in the
Philippines and is accompanied by two focused reports
providing further detail and suggestions on enhancing
financial inclusion in the Philippines through Islamic
microfinance and assessment of the status of financial
inclusion in Autonomous Region in Muslim Mindanao (ARMM)and
the proposed Bangsamoro territory. The term Islamic finance
is used to refer to financial activities conforming to
Islamic Law (Shari‘ah). One of the main principles of the
Islamic finance system is the prohibition of the payment and
the receipt of ribā (interest) in a financial transaction. A
pure debt security is replaced with an “asset-based”
security, direct financing of a real asset, and different
forms of partnerships of which equity financing is the most
desirable.The following key principles guide Islamic
Finance: i) Prohibition of interest on transactions (ribā);
ii) Financing must be linked to assets (materiality); iii)
Engagement in immoral or ethically problematic businesses
not allowed (e.g., gambling or alcohol production); iv)
Returns must be linked to risks. Table 1 provides a summary
description of basic financial instruments.Over the past
decade Islamic finance has emerged as an effective tool for
financing development worldwide, including in non-Muslim
majority countries. Discussion and interest in Islamic
finance has also appeared on G20 discussions. Major
financial markets are discovering solid evidence that
Islamic finance has already been mainstreamed within the
global financial system – and that it has the potential to
help address the challenges of ending extreme poverty and
boosting shared prosperity.In summary, Islamic finance is
equity-based, asset-backed, ethical, sustainable,
environmentally- and socially-responsible finance. It
promotes risk sharing, connects the financial sector with
the real economy, and emphasizes financial inclusion and
social welfare. |
| format |
Report |
| author |
Mylenko, Nataliya Iqbal, Zamir |
| author_facet |
Mylenko, Nataliya Iqbal, Zamir |
| author_sort |
Mylenko, Nataliya |
| title |
Developing Islamic Finance in the Philippines |
| title_short |
Developing Islamic Finance in the Philippines |
| title_full |
Developing Islamic Finance in the Philippines |
| title_fullStr |
Developing Islamic Finance in the Philippines |
| title_full_unstemmed |
Developing Islamic Finance in the Philippines |
| title_sort |
developing islamic finance in the philippines |
| publisher |
World Bank, Washington, DC |
| publishDate |
2016 |
| url |
http://documents.worldbank.org/curated/en/2016/06/26457891/developing-islamic-finance-philippines http://hdl.handle.net/10986/24677 |
| _version_ |
1764457357775994880 |
| spelling |
okr-10986-246772021-05-25T09:52:59Z Developing Islamic Finance in the Philippines Mylenko, Nataliya Iqbal, Zamir MONETARY POLICY FINANCIAL SERVICES DEPOSIT CAPITAL MARKETS REGULATORY FRAMEWORK ACCOUNTING DEPOSITS ISLAMIC BANK FINANCIAL DEEPENING ISLAMIC INVESTMENTS DIRECT FINANCING CONVENTIONAL BANKING AUTONOMY INTEREST PRIVATIZATION INDUSTRY REMITTANCE EXCHANGE BANKING SYSTEM CAPITAL BASE ISLAMIC FINANCIAL PRODUCTS ISSUANCES LIQUIDITY BANKING SERVICES INTERNATIONAL FINANCIAL MARKETS SERVICES REVENUES PORTFOLIO MARKET SIZE EQUITY FINANCING INSURANCE CORPORATION MARKET INSTRUMENTS DEBT SECURITY LOAN CAPACITY BUILDING REMITTANCE SERVICES PROJECTS TAX TURNOVERS ISLAMIC FINANCE ISLAMIC FUNDS INTERNATIONAL BANK FOREIGN INVESTMENTS INSTRUMENTS MUNICIPALITIES ENABLING ENVIRONMENT MATURITY PUBLIC POLICY SUKUK OIL PRICES IMMUNIZATION PRUDENTIAL STANDARDS RESOURCE MOBILIZATION CONTRACTS ISLAMIC FINANCIAL MARKETS TRADING MIGRATION DEPOSIT ACCOUNTS GLOBALIZATION FINANCIAL LEASING FINANCIAL INSTITUTIONS MARKETS DEBT OPERATING EXPENSES RETURN LEGISLATION DEPOSIT INSURANCE LAND OWNERSHIP RISK SHARING OPERATING LOSSES FINANCIAL SYSTEM LEGAL FRAMEWORK FINANCE INFRASTRUCTURE BANKING SECTOR BANKS ISLAMIC DEVELOPMENT BANK PROFIT MARGIN TRANSACTIONS EQUITY AUTOMATED TELLER MACHINES TRANSACTION GOOD ISLAMIC BANKING SYSTEM OPERATING COSTS FINANCIAL TRANSACTIONS ISLAMIC INSTRUMENTS ISLAMIC FINANCIAL INSTITUTIONS FUTURE VALUE ISLAMIC BANKS BANK RETURNS CREDIT INVESTMENT BANK ISLAMIC CAPITAL ISLAMIC BANKING FINANCIAL INSTRUMENTS SUPERVISORY FRAMEWORK CAPITALIZATION CONTRACT UNDERLYING ASSETS EXPENDITURES MANDATES LIQUIDITY MANAGEMENT ISSUANCE UNIVERSAL BANKS LOAN PORTFOLIO FINANCIAL SERVICE PROVIDERS FOREIGN BANKS SHARES SPOT MARKET MARKET ISLAMIC FINANCIAL INSTRUMENTS MONEY MARKETS FOREIGN EXCHANGE ISLAMIC INVESTMENT ISLAMIC FINANCIAL SERVICES SECURITIES TREASURY SUBSIDIARY GOVERNANCE INSURANCE MICROFINANCE GOVERNMENT POLICIES ECONOMIC DEVELOPMENT INVESTMENT INSTRUMENTS UNSECURED DEBT BANKING ASSETS UNIVERSAL BANK INVESTOR LAND SECURITY TRUSTEE EQUITY MARKETS PURE DEBT INVESTMENT RISK INVESTMENT BANKING NET LOSSES COMMERCIAL BANKS SHARE MICRO-FINANCE BANKING INSTITUTION POVERTY FINANCIAL MARKETS TANGIBLE ASSETS INTERNATIONAL STANDARD BANKING NET LOSS FINANCIAL ASSETS ISLAMIC CAPITAL MARKETS BANK SUPERVISION MONEY MARKET PROFIT MONEY MARKET INSTRUMENTS FINANCIAL SUPPORT INVESTMENTS TAX TREATMENT LENDING TRUST FUND PROFITS GAMBLING LIABILITIES ISLAMIC LAW CREDIT SALES DEVELOPMENT BANK AUDITING This report was prepared as part of the World Bank engagement in the Philippines to support Islamic Finance and Financial Inclusion. It provides an overview on the context for the development of Islamic finance in the Philippines and is accompanied by two focused reports providing further detail and suggestions on enhancing financial inclusion in the Philippines through Islamic microfinance and assessment of the status of financial inclusion in Autonomous Region in Muslim Mindanao (ARMM)and the proposed Bangsamoro territory. The term Islamic finance is used to refer to financial activities conforming to Islamic Law (Shari‘ah). One of the main principles of the Islamic finance system is the prohibition of the payment and the receipt of ribā (interest) in a financial transaction. A pure debt security is replaced with an “asset-based” security, direct financing of a real asset, and different forms of partnerships of which equity financing is the most desirable.The following key principles guide Islamic Finance: i) Prohibition of interest on transactions (ribā); ii) Financing must be linked to assets (materiality); iii) Engagement in immoral or ethically problematic businesses not allowed (e.g., gambling or alcohol production); iv) Returns must be linked to risks. Table 1 provides a summary description of basic financial instruments.Over the past decade Islamic finance has emerged as an effective tool for financing development worldwide, including in non-Muslim majority countries. Discussion and interest in Islamic finance has also appeared on G20 discussions. Major financial markets are discovering solid evidence that Islamic finance has already been mainstreamed within the global financial system – and that it has the potential to help address the challenges of ending extreme poverty and boosting shared prosperity.In summary, Islamic finance is equity-based, asset-backed, ethical, sustainable, environmentally- and socially-responsible finance. It promotes risk sharing, connects the financial sector with the real economy, and emphasizes financial inclusion and social welfare. 2016-07-13T15:44:04Z 2016-07-13T15:44:04Z 2016-06-09 Report http://documents.worldbank.org/curated/en/2016/06/26457891/developing-islamic-finance-philippines http://hdl.handle.net/10986/24677 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Economic & Sector Work Economic & Sector Work :: Other Financial Sector Study East Asia and Pacific Philippines |