Is an "interestFree" Bank sustainable and competitive?

survey of Dissertation, Islamic Finance, Analysis, Germany and Turkey

Research Paper (postgraduate) , 2014 , 28 Pages

Economics - Finance

This work analyzes whether in recent years Islamic financial developments apply globally, for example to Germany. The author is interested in the reality of Islamic finance and its potential existence in non-Muslim environments? In much of the extant literature, studies consider a theoretical model such as: “The stability of Islamic finance”.

The authors in these studies tend to focus on global Islamic banks. In the present study, the Author wants to examine the situation for a specific non-Muslim country like Germany. The second focus is to find out whether there is a relationship between the number of Muslims in Germany and the need for Islamic financial products. A detailed view of market entry and critical key indicators are analysed. The current laws and their handling by Islamic banks will additionally be examined.

Inhaltsverzeichnis

• INTRODUCTION
• OBJECTIVES AND METHODOLOGY
  • PROBLEM IDENTIFICATION AND EXPLANATION
  • Research Questions
  • Methodology
• SURVEY OF LITERATURE
  • ISLAMIC FINANCE
  • DETAIL INTEREST FREE
  • DETAIL HELAL
  • INTERNAL VIEW OF BANKS
  • EXTERNAL VIEW OF CUSTOMERS
• RESULTS
• DISCUSSION
• REFERENCES
• APPENDICES

Zielsetzung und Themenschwerpunkte

This dissertation aims to analyze the feasibility and competitiveness of interest-free banking in Germany, a non-Muslim country. The study investigates the potential for Islamic finance to thrive in a non-Islamic environment, considering the existing market conditions, legal framework, and the needs of the Muslim community. It also explores the relationship between the Muslim population and the demand for Islamic financial products. The research compares the German market with Turkey, a country with a more established Islamic finance sector, to gain insights into the challenges and opportunities of market entry.

• The feasibility of interest-free banking in a non-Muslim country like Germany.
• The relationship between the Muslim population and the demand for Islamic financial products.
• The challenges and opportunities of market entry for Islamic banks in Germany.
• The comparison of the German market with Turkey, a country with a more established Islamic finance sector.
• The legal framework and regulatory environment for Islamic finance in Germany.

Zusammenfassung der Kapitel

The introduction provides an overview of the research objectives and the motivation behind the study. It highlights the gap in existing literature, which primarily focuses on theoretical models of Islamic finance, and emphasizes the need for a practical analysis of the German market. The study aims to examine the reality of Islamic finance in a non-Muslim environment and explore the potential for its growth.

The chapter on objectives and methodology outlines the research questions and the approach taken to address them. It discusses the problem identification, which focuses on the lack of empirical evidence in the field of Islamic finance, and the need for a bottom-up analysis. The methodology involves a survey of both residential and business customers, as well as workshops with banks, to gather data on the demand and supply sides of the market.

The survey of literature provides a comprehensive overview of Islamic finance, including its theoretical foundations, key concepts, and instruments. It compares Islamic finance with conventional finance, highlighting their differences in terms of principles and practices. The chapter also explores the internal view of banks, examining their perspectives on the viability and competitiveness of Islamic finance, and the external view of customers, analyzing their preferences and needs for Islamic financial products.

Schlüsselwörter

The keywords and focus themes of the text include Islamic finance, interest-free banking, halal finance, Germany, Turkey, market entry, Muslim population, demand for Islamic financial products, legal framework, regulatory environment, and comparative analysis.

• College: Mendel University
• Course: PhD., Economics and Management
• Author: Mehmet Cosgun (Author)
• Publication Year: 2014
• Pages: 28
• Catalog Number: V279132
• ISBN (eBook): 9783656732907
• ISBN (Book): 9783656732891
• Language: English
• Tags: bank, dissertation, islamic, finance, analysis, germany, turkey