A bank is a financial intermediary that generates income from its fund-based and fee-based products and services. As for the former, the bank has to share the profits with parties from whom it sources funds such as depositors and shareholders to provide financing facilities for its customers. Unlike its fund-based products and services, the bank can recognise any profit generated from its fee-based products and services solely as its own income without having to share it with other parties as it does not utilise others' money in offering such products and services.

The primary aim of this paper is to make an initial attempt to conduct empirical tests in order to discern the dynamic causal chain-in the Granger (temporal) sense rather than in the structural sense-among real output, money, interest rate, inflation, and the exchange rate in the context of two small Southeast Asian developing economies, such as Thailand and Malaysia. The methodology employed uses various unit root tests and Johansen's cointegration test followed by vector error-correction modeling, variance decompositions, and impulse response functions in order to capture both the within-sample and out-of-sample Granger-causal chain among macroeconomic activity. Given the relatively stable macroeconomic environment in these two growth-oriented economies, the results, quite in line with our expectations, tend to suggest that in the Granger-causality sense, money supply (particularly MI) appears to have played the leading role of a policy variable being the most exogenous of all, and the other variables including output, rate of interest, exchange rate, and prices appear to have borne most of the brunt of short-run adjustment endogenously in different proportions in order to re-establish the long-run equilibrium.

This book is the outcome of a joint effort of a number of senior practising professionals as well as leading research scholars and educators in Islamic finance. The result is a reliable book on the subject of sukuk securities. Though this type of security is new ro modern Islamic finance, it has its historical roots some centuries earlier as a novel instrument developed in the Turkish Empire based on earlier practices of government treasuries to raise money. Sukuk securities were first offered just about 20 years ago as part of a slew of new Islamic financial products to fund activities mostly over a finite horizon, since these are financing contracts priced not by using interest rates but by using returns on profit sharing- based contracts and asset- backing for the finance provided.

Amana Takaful Maldives (Amana Takaful) has announced its interim dividend payment to its shareholders for the year 2017 based on its commendable performance. Amana Takaful reported a profit of MVR4.8 million (US$307,625) in the first seven months, ending July 2017, compared to a growth of 21% over the same period in 2016. In addition, gross written premiums worth MVR80 million (US$5.13 million) were recorded, showing a notable growth with higher volumes in the leading classes.

Over the last century, few assets can claim a meteoric rise as cryptocurrency ('crypto') has. Crypto has taken several forms, with rapid innovation and uniquely linked value propositions, which include: a) CBDCs (Central Bank Digital Currencies that are digital versions of local currency); b) Stablecoins (that may be fiat-backed, commodity-backed or algorithm-based), c) the more well-known Exchange Coins (e.g. Bitcoin, Ethereum and Cardano), and d) tokens (security tokens that provide rights, utility tokens that can be redeemed for access to products and services and social impact tokens that provide sustainable or social impact). Except for CBDCs, other cryptocurrencies have had limited applicability or validity as mediums of exchange. They are in fact digital assets based on a version of blockchain protocol, pioneered by Nakamoto in 2009 and offered first through Bitcoin, the 'father' of cryptos.

The spotlight of this study is to examine the relationship between microfinance and poverty with specific focus to OIC countries and Islamic Microfinance institutions (MFls). Using an unbalanced panel dataset covering of 2,904 microfinance institutions from 120 countries and applying two econometrics techniques: Generalized method of moments (GMM) and two stage least squares instrumental variable regression, my study fails to establish the positive role of microfinance institutions in alleviating poverty. Taking into account the endogeneity problem associated with microfinance loans and domestic credit, I show that microfinance institutions neither reach the poor nor the poorest. I find no significant difference in performance of microfinance institution in OIC and Non-OIC countries when it comes to poverty reduction. Moreover, evidence suggest that role played by Islamic microfinance institutions and conventional MFIs in combating poverty is indifferent. The study contributes to the literature by providing new evidence on the microfinance-poverty nexus at macro level, comparing between OIC and Non-OIC countries as well as Islamic and conventional MFIs. Results presented in this study have important policy implications for researchers, investors, governments and international bodies ...

The slides "The Islamic economic challenge" presented by presented by Prof. Datuk Dr. Syed Othman Alhabshi at the International Seminar of Managing Global Economy.

There are two basic approaches to Islamic economics and finance: Shari' ah compliant and Shari'ah based. The former is relatively easy and therefore dominates. It involves looking at the West for viable economic or financial institutions and instruments. After identifying these, it reverses engineering and dismantles them into their essential components. This is followed by the introduction of additional transactions, trying to make each component comply with the Shari'ah. It can then claim to have invented a new instrument that is Shari'ah compliant.

An Islamic banking system employs different Shariah contracts to develop and offers products and services in different jurisdictions. One of such contracts is salam which is a forward sale contract. This study aims to examine the practice of salam as an instrument of Islamic banks financing and how technology can be used to enhance its application thereto. A qualitative approach is employed in this research where primary data sources on salam contract were examined, along with content analysis of relevant secondary data sources on the contract and how its practiced in Islamic banking. In furtherance of that practice, salam instrument can be leveraged on technology, mainly the blockchain. This would enhance its operation by bringing about automation, transparency, fair pricing, saving time and cost as well as enabling widespread access of Islamic bank financing to smaller enterprises to promote societal well-being. This research reveals that salam instruments cater for different clients' needs and enjoy patronage in many jurisdictions even though it is currently the least utilized contract in Islamic banks financing due to divergence of juristic views on its general permissibility. Also, salam is an exceptional contract for Islamic banks financing of agriculture and related enterprises among others. The research offers an insight for Islamic banks to leverage on technology in utilizing salam contract towards providing financing for variety of clients, particularly poor farmers. Similarly, jurisdictions not practicing salam stand to learn of the benefits of using salam to offer technologically innovative yet affordable Islamic banking products/services for variety of clients.

The question of whether management culture is universal of society specific has long been debated in the Middle East, with htose who accept the latter suggesting that there may be some characteristics of Arab and Islamic culture that are inimical to business development. Business leaders in the Middle East appear to accept cultural relativist arguments, believing that their values are rooted in their culture and religion.

On the 24th April 2016, Abdulla Jihad, the minister of finance and treasury of the Republic of Maldives, visited the capital of Malaysia, Kuala Lumpur, with a delegation on an official trip to seek technical assistance to develop the newly established Maldives Center for Islamic finance, an entity that was established with the objective of strategizing and promoting Maldives as the hub for Islamic finance and the halal industry in South Asia.