Legal and Contractual Issues of Islamic Banking and Finance in the Era of Industry Revolution

Submission deadline – 30th April 2019

Guest Editors:
Prof Dr Rusni Hassan and Asst. Prof. Dr Nor Razinah Mohd. Zain,
IIUM Institute of Islamic Banking and Finance, International Islamic University Malaysia

Islamic banking and finance is a popular alternative banking in the global market in the new millennium. It can be characterised by different forms of conventional banking settings, the legal frameworks and infrastructure used in implementing the principles of Islamic banking and finance, with the product structuring and contracts are of unique nature. The utilisation of underlying assets and reliance on real economic activities, which derived strong foundation from the regulatory framework (Modan and Hassan, 2018), corporate governance (Zain et al., 2015), and contractual formation (Subky et al., 2017), have made Islamic banking and finance more resilient to the recent economic turbulences. Altogether, these processes ensured that Islamic banking and finance emerged as a more desirable and trustworthy option irrespectively of the faith convictions.

With the advances in technology, Islamic banking and finance is facing another set of challenges - the rise of blockchain technology (Muneeza et al., 2018), the use of mobile apps (Ghalib et al., 2016), e-money, e-wallets and e-payment; all of which offer convenient ways to do banking services at the touch of a screen. In this context, the modus operandi of the operator is difficult to predict and it seems that no Shariah considerations of such usage or the contractual relationship might take place. Should there even be such consideration or is it necessary? Is there any need to look at it by Shariah scholars?

These are some of the questions that have been brought to the attention of the researchers in the field of Islamic banking and finance and thus become the subject of this special issue. On the whole, technology permeates all aspects of contemporary life and it is great to see that it penetrates research agenda of the scholars in Islamic community, banking and finances.

RESEARCH THEMES

This special focuses on the recent and forthcoming developments in legal framework and contractual issues associated with the challenges of embedding technology in Islamic banking and finance. Topics may include, but are not limited to, the following:

  • Legal and Regulatory Issues on Islamic Banking and Finance
  • Islamic Banking, Takaful and Islamic Capital Market
  • Sanctity of Contracts
  • Alternative Form of Contracts
  • Good Governance Practices in Islamic Finance
  • Resolution of Disputesin Islamic Banking and Finance
  • Blockchain, Smart Contracts and Islamic Finance
  • Ethics and regulation of digital Islamic Finance
  • Crowdfunding, digital banking, cryptocurrency
  • Issues with Islamic financial innovation
GUIDELINES FOR AUTHORS

Full papers should present original work not previously published elsewhere and not under consideration in any other journal. It is expected that papers should be between 3000 and 6000 words in length, excluding references. The Journal has a preferred publication style (follow the link for more details on Authors Guidelines). The closing date for article’s submission to the Special Issue is 30th April 2019. Please submit your paper as an email attachment to . Early submissions are encouraged.

All papers will go through the double blind review process.

References

  1. Ghalib M.F.M., Mansor Y., Dollah N., Hassan R., Omar Z., Zakaria A.W. (2016), "Providing a Mobile Service for Academics and Professionals: Need Analysis for the Development of Mobile App Glossary of Terms in Islamic Banking and Finance", In: Luaran J., Sardi J., Aziz A., Alias N. (eds) Envisioning the Future of Online Learning, Singapore: Springer. pp 359-369. https://doi.org/10.1007/978-981-10-0954-9_31
  2. Modan, C. and Hassan, R.(2018), "The possible inclusion of legal provisions in Islamic banking and finance: The case study of the Mozambican regulatory framework", International Journal of Law and Management, Vol. 60, No. 2, pp. 662-680. https://doi.org/10.1108/IJLMA-10-2016-0097
  3. Muneeza, A.; Arshad, N. A. and Arifin, A. T. (2018), "The Application of Blockchain Technology in Crowdfunding: Towards Financial Inclusion via Technology ", International Journal of Management and Applied Research, Vol. 5, No. 2, pp. 82-98. https://doi.org/10.18646/2056.52.18-007
  4. Subky, K. H. Liu, J. Y., Abdullah, M. Farhan Mokhtar, Z. and Faizrakhman, A. (2017), "The Implication of Musharakah Mutanaqisah in Malaysian Islamic Banking Arena: A Perspective on Legal Documentation", International Journal of Management and Applied Research, Vol. 4, No. 1, pp. 17-30. https://doi.org/10.18646/2056.41.17-003
  5. Zain, N. R. B. M.; Zulkarnain, I. F. B. and Hassan, R. (2015), "Shari’ah Corporate Governance Structure of Malaysian Islamic Banking and Finance: The Traces of Shura", Journal of Islamic Banking and Finance, Vol. 3, No. 1, pp. 26-34. https://doi.org/10.15640/jibf.v3n1a3