The Malaysian Islamic banking sector viewed through systems theory /
The main objective of this research is to understand how the Malaysian Islamic commercial banking system (MICBS) has been developing. There are two main concerns of MICBS that this research addresses. The first is the declining performance of the MICBS. The second concern is how the MICBS has dev...
Saved in:
| Main Author: | |
|---|---|
| Format: | Thesis |
| Language: | English |
| Published: |
Kuala Lumpur :
Kulliyyah of Economics and Management Sciences, International Islamic University Malaysia,
2018
|
| Subjects: | |
| Online Access: | Click here to view 1st 24 pages of the thesis. Members can view fulltext at the specified PCs in the library. |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| Summary: | The main objective of this research is to understand how the Malaysian Islamic commercial banking system (MICBS) has been developing. There are two main concerns of MICBS that this research addresses. The first is the declining performance of the MICBS. The second concern is how the MICBS has developed according to conventional standards despite constant criticism of its reliance on short-term, debt-based modes of finance. The main argument of this thesis is that both these problems arise because of the restricted scope of economic methodology. To remedy this problem, this research uses Systems Theory to broaden the analysis of MICBS. Applying this economic systems methodology to the MICBS reveals that the development of the MICBS depends on the interaction between the internal incentives (the corporate governance framework) and external incentives (the Shariah governance framework) within the MICBS. Ultimately, the internal incentives overpower the external ones, which leads to the MICBS emulating the conventional banking system. The systems methodology is also used to identify non-mainstream conventional banking models that may serve as an alternative guide that would bring MICBS closer to its original founding values. Specifically, this research proposes that the German Banking System (GBS) would allow the MICBS to develop according to some its original values, especially in terms of real sector contribution and development. However, future research should investigate other alternative banking systems in terms of their ability to aid MICBS-development. Overall, this research reveals the importance of methodology in the development of the MICBS. The systems level analysis of the MICBS proves that there are other alternative models that can help MICBS develop in a way that is more consistent with its values. |
|---|---|
| Physical Description: | xvii, 319 leaves : illustrations ; 30cm. |
| Bibliography: | Includes bibliographical references (leaves 284-297). |