Dilemmas and Challenges in Islamic Finance Looking at Equity and Microfinance [Hardcover]

The phenomenal growth of Islamic finance in the last few decades has been accompanied by a host of interesting questions and challenges. One of the critical challenges is how Islamic financial institutions can be motivated to participate in the 'equity-like' profit-and-loss sharing (PLS) contracts. It is observed that Islamic banks are reluctant to participate in the pure PLS scheme which is manifested by the rising concentration of investment on murabahaor mark-up financing. This phenomenon has been the hotbed of academic criticism on the contemporary practice of Islamic banking. This book explains the 'murabahasyndrome' in light of the incentive provided by the current institutional framework and what are the changes required in the governance structure to mend this anomaly.

Introduction (Yasushi Suzuki and Mohammad Dulal Miah)

1. Heterodox vs. Islamic View on Interest and Uncertainty: Contradictions and Commonalities (Yasushi Suzuki and Mohammad Dulal Miah)

2. A Critique to a Naive Critique to 'Murabaha''Tawarruq'Syndrome (Mohammad Dulal Miah and Yasushi Suzuki)

3. An Inquiry into the Scope of Acceptable Gharar (Mohammad Hashim Kamali, Yasushi Suzuki and Mohammad Dulal Miah)

4. Altruism and Reciprocity in Islamic Equity Fund: New Institutional and Philosophical Speculations (Yasushi Suzuki and Mohammad Dulal Miah)

5. Anatomy of Islamic Venture Capital: Typology of Bahraini / Indonesian Islamic VC Firms (Yasushi Suzuki, A.K.M. Kamrul Hasan and Sigit Pramono)

6. Sukuk EnvironmelÓå