Muneem, Abdul and Mohd Razif, Nor Fahimah and Ali, Abdul Karim and Rosele, Muhammad Ikhlas (2024) Debt-based financing: A case study of Malaysian Islamic banks. Global Business and Economics Review, 30 (1). 39 – 55. ISSN 1097-4954, DOI https://doi.org/10.1504/GBER.2024.135289.
Full text not available from this repository.Abstract
The present study aims to address the concept of debt-based financing from the Sharī‘ah perspective and to analyse the current practice of debt-based financing by the Islamic banks in Malaysia. A qualitative research approach is adopted using an in-depth study of the literature through classical and contemporary books to address the concept of debt-based financing. The practice of debt-based financing in Islamic banking is studied through the Islamic banks’ official websites. The present study reveals that the current Islamic banking system offers debt-based financing to the customers where the customers are liable to pay the debt through monthly instalments. However, the concept of dayn and the rights and responsibilities of a debtor is not clear to many customers, and the failure of fulfilling the obligation by the customers hinders the smooth operation of the Islamic banks. Moreover, debt-based financing is drawing more attention and interest among most Islamic banks as compared to equity-based financing which is creating more debt. Copyright © 2024 Inderscience Enterprises Ltd.
| Item Type: | Article |
|---|---|
| Funders: | UNSPECIFIED |
| Uncontrolled Keywords: | Creditor; Dayn; Debt; Debt-based contract; Debtor; Islamic bank; Shariah |
| Subjects: | B Philosophy. Psychology. Religion > BP Islam. Bahaism. Theosophy, etc > Islam H Social Sciences > HG Finance > Banking |
| Divisions: | Academy of Islamic Studies > Dept of Fiqh & Usul |
| Depositing User: | Ms. Juhaida Abd Rahim |
| Date Deposited: | 12 Mar 2024 03:04 |
| Last Modified: | 12 Mar 2024 03:04 |
| URI: | http://eprints.um.edu.my/id/eprint/45057 |
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