Challenges and prospects for foreign Islamic Banks in Malaysia: a case study of Al-Rajhi Banking and Investment Corporation (Malaysia) Berhad /
In recent years, Islamic Banking and Finance has become the fastest growing sector in the global finance and banking industry. This industry in Malaysia has witnessed a tremendous growth in terms of demand, acceptance and development since it was first introduced in 1963. At present, Malaysian gover...
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| Format: | Thesis |
| Language: | English |
| Published: |
Kuala Lumpur:
Graduate School of Management, IIUM ;
2011
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| Subjects: | |
| Online Access: | Click here to view 1st 24 pages of the thesis. Members can view fulltext at the specified PCs in the library. |
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| Summary: | In recent years, Islamic Banking and Finance has become the fastest growing sector in the global finance and banking industry. This industry in Malaysia has witnessed a tremendous growth in terms of demand, acceptance and development since it was first introduced in 1963. At present, Malaysian government has plans to make Malaysia as an International Islamic banking hub in the region by further liberalizing the industry by offering licenses to qualified foreign Islamic banks to operate in Malaysia. This research is principally a study of the survival of the foreign Islamic banks in Malaysia. Although, Islamic banking industry in Malaysia has survived well despite the obstacles and constraints of dual system, they continue to face challenges and foresee better prospects as well. Accordingly the study has focused on the establishment and performance of Saudi-based Al Rajhi Bank in Malaysia. A thorough study is undertaken of the bank and first hand interviews were conducted with all those concerned personnel of Al Rajhi Bank Investment Corporation Berhad and selected individual regulators. The researcher identifies the challenges and the strategies which have been adopted by the bank to further expand its horizon in Malaysia. The challenges that were pertinent to the foreign Islamic banks include the issue of being a strict Sharf'ah player, regulatory concerns, tax issues and the shortage of talented experts in the country. Meanwhile the growth prospects for Islamic banking industry in Malaysia look promising, particularly given the fact that the region is expected to be a major driver of economic growth. This study is concluded with several recommendations to address these challenges for better economic integration and partnership so as to attain the status of a comprehensive bank that integrates and mergers with other Islamic banks in the country. |
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| Item Description: | Abstracts in English. "Project Paper submitted in Partial fulfilment of the requirement for the Degree of Master of Business Administration." --On t.p. |
| Physical Description: | xv, 231 leaves : illustrations ; 30cm. |
| Bibliography: | Includes bibliographical references (leaves 93-103). |