Saleem, Shujaat and Baig, Umair and Meidute Kavaliauskiene, Ieva and Ul Hassan, Mehboob and Mansor, Fadillah (2022) Attaining standardization in Islamic banking institutions in Pakistan: Analysis on ijarah financing. Journal of Risk and Financial Management, 15 (10). ISSN 1911-8066, DOI https://doi.org/10.3390/jrfm15100430.
Full text not available from this repository.Abstract
This paper aims to explore the practices of Ijarah financing by Islamic banks in Pakistan pertaining to compliance with the AAOIFI Shariah Standard (9) on Ijarah financing. Primary data were gathered from the respondents of the five (5) full-fledged Islamic banks in Pakistan by administering semi-structured face-to-face interviews along with secondary data obtained from the contractual agreements on Ijarah financing. Qualitative content analysis was undertaken by employing NVivo software. The findings reveal discrepancies in the practices of Ijarah financing pertaining to two clauses of the AAOIFI Shariah Standard and emerging major challenges and/or problems facing the Islamic banking industry, including (1) a lack of standardization, (2) an insufficient regulatory and supervisory framework, and (3) a dearth of awareness of the Islamic banking products and/or takaful operations (especially among corporate customers). The study accrues both academic and practical implications. It not only adds value to the existing literature on Islamic finance but also serves as a guide for the Islamic banking industry in Pakistan. The study is useful to harmonize and standardize the practices of Ijarah financing by the contemporary Islamic banks in Pakistan as the Islamic Banking Division (IBD) of the State Bank of Pakistan (SBP) made it compulsory for Islamic banks to adopt AAOIFI Shariah Standard No. (9) on Ijarah financing. © 2022 by the authors.
| Item Type: | Article |
|---|---|
| Funders: | None |
| Additional Information: | Cited by: 0; All Open Access, Gold Open Access, Green Open Access |
| Uncontrolled Keywords: | AAOIFI Standards; Ijarah financing; Islamic banks |
| Subjects: | H Social Sciences > HG Finance H Social Sciences > HG Finance > Banking |
| Divisions: | Academy of Islamic Studies > Dept of Syariah & Management |
| Depositing User: | Ms. Juhaida Abd Rahim |
| Date Deposited: | 29 Nov 2023 06:44 |
| Last Modified: | 03 Dec 2023 01:19 |
| URI: | http://eprints.um.edu.my/id/eprint/43844 |
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