Prospects and challenges of Islamic fintech in Indonesia: a legal viewpoint

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yudho Taruno Muryanto ◽  
Dona Budi Kharisma ◽  
Anjar Sri Ciptorukmi Nugraheni
Keyword(s):  
Dispute Resolution ◽  
United Arab Emirates ◽  
Legal Framework ◽  
Conceptual Approach ◽  
Muslim Population ◽  
Content Type ◽  
Criminal Sanctions ◽  
Library Research ◽  
The World ◽  
One Stop

Purpose This paper aims to explore the prospects and the challenges of Islamic fintech in Indonesia. This study also proposes a comprehensive legal framework to encourage and accelerate the growth of the Islamic economy. Design/methodology/approach This study is the result of legal research with a statute approach and conceptual approach. The types of data used are legal materials consisting of primary legal materials and secondary legal materials. The technique of collecting legal materials is done by using library research techniques. The legal materials were analyzed using the legal norm method. Findings Indonesia is a country with the largest Muslim population in the world. However, the market size of Indonesia’s Islamic fintech is still below Saudi Arabia, Iran, United Arab Emirates (UAE) and Malaysia. Saudi Arabia’s Islamic fintech is the biggest market in the world, with $17.9bn worth of transactions in 2020 while Iran is at $9.2bn, UAE $3.7bn, Malaysia $3.0bn and Indonesia $2.9bn. This condition was due to various challenges in the Islamic fintech industry in Indonesia, including inadequate regulations; complicated permit procedures; misuse of fintech for financing terrorism; rampant occurrence of illegal fintech businesses; and consumer disputes in the fintech sector. These challenges require the construction of a comprehensive legal framework through the formation of an Act on Fintech. Research limitations/implications The focus of this research was limited to the problems occurring in the Islamic fintech sector in Indonesia as a country with the largest Muslim population in the world. Practical implications The results of this research can be used as recommendations for the formulation of comprehensive policies for the growth and development of Islamic fintech. Social implications Islamic fintech requires a comprehensive legal framework that functions to encourage the development of the Islamic fintech industry, digital economy growth and legal mitigation of various legal risks and misuse of fintech for financial crime and financing terrorism. Originality/value This paper proposes an original idea of creating a legal framework in a form of the Islamic Fintech Act. The Act should cover such legal substances as follows: Islamic compliance; an integrated one-stop permit procedure; division of authority, coordination and synergy among authorities; prevention and resolution of digital financial system crisis; criminal sanctions; and consumer dispute resolution mechanisms and alternative institution for fintech consumer dispute resolution.

Dispute resolution in the Islamic banking industry of Tanzania: learning from other jurisdictions

2016 ◽  
Vol 9 (1) ◽  
pp. 125-142 ◽  
Author(s):  
Abdul-Nasser H.R. Hikmany ◽  
Umar A. Oseni
Keyword(s):  
Dispute Resolution ◽  
Dispute Settlement ◽  
Banking Industry ◽  
Banking System ◽  
Legal Framework ◽  
Policy Framework ◽  
Islamic Banking ◽  
Court System ◽  
Content Type ◽  
Good Policy

Purpose This paper aims to examine the prospects of a dispute resolution framework for the Islamic banking industry in Tanzania under the existing legal framework. Design/methodology/approach This paper is based on comparative study by drawing significant lessons from other jurisdictions, and argues that to avoid some of the initial drawbacks in the dispute resolution framework for Islamic banking transactions in more advanced jurisdictions like Malaysia and United Kingdom, it is important for Tanzania to get it right from the onset to effectively manage Islamic banking disputes. Findings The study finds that apart from the court system which provides the main avenue for Islamic finance litigation, other processes such as arbitration and mediation which are deemed to be more sustainable could also be developed for effective dispute management. Research limitations/implications The study focuses on Tanzania banking system with comparison to other jurisdictions. Practical implications An increase of Sharī’ah-compliant products in Tanzania has led to the establishment of a number of Islamic banks. This study demonstrates the need for Tanzania to make use and/or make adjustment of its laws for effective dispute settlement of banking-related disputes. Originality/value This study appears to be the first paper to draw significant experiences from other jurisdictions to resolve Islamic banking disputes in Tanzania. It is expected to provide a good policy framework for the stakeholders in the Islamic banking industry in Tanzania.

The benefits and disadvantages of the law on the expansion of the jurisdiction of the DIFC Court

2018 ◽  
Vol 60 (2) ◽  
pp. 221-232
Author(s):  
Tareq Na’el Al-Tawil ◽  
Prabhakar Gantasala ◽  
Hassan Younies
Keyword(s):  
English Language ◽  
Geographical Area ◽  
Legal Framework ◽  
Negative Consequences ◽  
Content Type ◽  
Limited Volume ◽  
Financial Centre ◽  
The World ◽  
Long Time ◽  
The Law

Purpose This paper aims to discuss the benefits and disadvantages of the law on the expansion of the jurisdiction of the Dubai International Financial Centre (DIFC) Court. The major role of DIFC Courts in the Arab community is to handle cases related to commerce and business. For a long time, the court had been acting only in their geographical area until a new law was enacted to extend their jurisdiction all over the world. Afterward, a lot of criticism emerged as for why and how the court will benefit from such actions. The law has drawn a harsh response, although most benefits have also been experienced since the court received quite a large number of new signings. Interaction at the world business forum has benefited the economy of Dubai thanks to the law. Design/methodology/approach The following study focuses on a description of such benefits and drawbacks. The study does not evaluate a factual process of expansion but indicates the most distinct evidence of positive, as well as negative consequences of the expansion. Findings It is appropriate to make a general comment on the fact that the expansion of DIFC Court is not sufficiently effective at the current stage. Needless to say, it contains numerous positive aspects, but the gaps are evidently essential because they place the entire Court in a hard circumstance. The Court does not have a well-developed legal framework for its new area of jurisdiction as long as its limited volume of prior precedent is a distinct sign of the Court’s dependence on the UAE’s Law. In such way, DIFC Court will not be able to address issues within new fields of jurisdiction, as it simply lacks an expertise and international law in its legal framework. Moreover, the jurisdiction over new areas of international business was not verified with a plain system of mediation, which is why a current expansion of DIFC Court has to be recognized as redundant. However, its advantages are tending to produce their effects provided that the Court manages to address its current problems. Originality/value The study has described the basic benefits and drawbacks of DIFC Court expansion. To speak about the main benefits, they can be depicted as appliance of the common law, unification of English language for proceedings, presence of a preliminary arbitration and guarantees of award enforcement. In a similar way, the drawbacks of the expansion have been issued. The study has identified such drawbacks as lack of international and sophisticated expertise, untested legal framework, strong influence of forum non conveniens, and existence of a limited volume of prior precedent. The paper has not assessed a success of a factual expansion of DIFC Court jurisdiction, but it has managed to fulfill its primary purpose. Thus, the paper has identified a certain tendency concerning the expansion.

Qatari litigation targets reputation, not resolution

2019 ◽  
Keyword(s):  
United States ◽  
National Security ◽  
Dispute Resolution ◽  
United Arab Emirates ◽  
The United States ◽  
Test Cases ◽  
Content Type ◽  
Legal Challenges

Subject Qatari legal disputes with Gulf rivals. Significance More than two years after a bloc of regional rivals began an economic and political boycott of Qatar, there are no signs of rapprochement on the horizon. In the meantime, Doha has launched a series of legal challenges against the boycotting countries at the WTO and elsewhere. The United Arab Emirates (UAE) has responded with counterclaims against Qatar. Impacts The Gulf diplomatic crisis will likely only be resolved when the blockading countries find it expedient to bring it to a close. Saudi and UAE use of the national security exemption will offer further test cases for WTO dispute resolution. The United States may seek to intervene to encourage bilateral deals to prevent an unwelcome ruling on the national security exemption.

scholarly journals Meaning of “employee happiness” within the context of complex organisations? An explanatory review on the UAE labour force

2020 ◽  
Vol 14 (2) ◽  
pp. 169-180
Author(s):  
Vic Benuyenah ◽  
Bharti Pandya
Keyword(s):  
Employee Engagement ◽  
United Arab Emirates ◽  
Labour Force ◽  
Theoretical Framework ◽  
Content Type ◽  
The World ◽  
Micro Level ◽  
The Uk ◽  
Organisational Level ◽  
Employee Happiness

Purpose In this study, the authors build on the current frameworks of happiness provided by the PERMA model, the World Happiness Report Index and the theoretical framework provided by the proponents of job-satisfaction model, motivation, employee engagement and commitment. The authors argue that, the existing theoretical framework in the management and the HR literature are just different aspects of a common goal – happiness. This position is consistent with the overall happiness projects championed by governments across the world, including the UK, Bhutan, several Scandinavian nations and essentially the United Arab Emirates. A chasm that currently exists in the literature is the availability of a universally acceptable definition for happiness and protocols for measuring happiness. The authors conclude that more research is required to keep pace with industry development relating to employee happiness initiatives. Design/methodology/approach Using quasi-literature review, the authors analysed selected studies on the theory of happiness to identify how each have treated the concept of happiness in organisations. Findings It is erroneous to promote national or international happiness initiatives without starting from the micro level – in this case, the institutions of society should start measuring happiness from the micro level to help understand what happiness actually means. Research limitations/implications As an opinion piece, its recommendations need to be applied cautiously. Originality/value Till date, only a few studies have explored the concept of happiness from micro-organisational level.

ESG litigation – how companies can get ready, respond and resolve claims

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tom Cummins ◽  
Ruby Hamid ◽  
Eleanor Reeves ◽  
Thomas Karalis ◽  
Matthew Harnett
Keyword(s):  
Dispute Resolution ◽  
Design Methodology ◽  
Content Type ◽  
The World ◽  
Expert Analysis ◽  
Practical Implications

Purpose To highlight ESG litigation risks and present an overview of the present landscape of ESG disputes in Europe – with a particular focus on England – and globally. Design/methodology/approach This article provides an overview of ESG factors, how they impact on companies, and potential claims that can arise from ESG issues. It also provides recommendations on how companies can prepare for, respond to, and ultimately resolve ESG disputes. Findings The number of ESG cases that are being brought (and won) by claimants in various courts around the world is rapidly increasing. There is a need for companies to prepare for, respond to, and resolve ESG disputes that they may become party to. Practical implications Companies need to take notice of the growing trend of ESG disputes and claims being brought, and in particular prepare for, respond to, and resolve them. Originality/value Expert analysis and guidance from experienced dispute resolution and environmental lawyers.

Towards a global hub

2016 ◽  
Vol 58 (1) ◽  
pp. 48-72 ◽  
Author(s):  
Umar A. Oseni ◽  
Abu Umar Faruq Ahmad
Keyword(s):  
Dispute Resolution ◽  
Legal Framework ◽  
Institutional Framework ◽  
Islamic Finance ◽  
Legal Analysis ◽  
Content Type ◽  
Finance Industry ◽  
Recent Developments ◽  
Islamic Financial Institutions ◽  
Resolution Processes

Purpose – The paper aims to examine significant developments in the institutional framework for dispute resolution in the Islamic finance industry in Malaysia. Malaysia, as part of its efforts to consolidate its enviable Islamic finance industry, has strengthened its institutional framework for dispute resolution. Design/methodology/approach – Data for this study were collected from both primary and secondary legal sources. Through a conceptual legal analysis, the institutional frameworks of dispute resolution in the Malaysia’s Islamic finance industry are studied. Findings – The study finds that Malaysia is far ahead of other jurisdictions by a significant margin in spearheading reforms in the emerging global Islamic finance industry. The dispute resolution framework has been largely affected by the recent reforms. Research limitations/implications – Other jurisdictions may borrow a leaf from Malaysia’s initiative in providing a robust legal framework for dispute management in the Islamic finance industry. Practical implications – Apart from adopting Malaysia’s framework and possibly adapting it to suit their specific local variations, other jurisdictions may also encourage Islamic financial institutions to incorporate effective dispute resolution processes in Islamic finance contracts. Originality value – This study critically discussed most recent developments in the institutional framework on dispute resolution in the Islamic finance industry in Malaysia.

scholarly journals Planning an accessible expo 2020 within Dubai’s 5 star hotel industry from legal and ethical perspectives

2016 ◽  
Vol 2 (1) ◽  
pp. 88-94 ◽  
Author(s):  
Stephanie Morris ◽  
Scolah Kazi
Keyword(s):  
United Arab Emirates ◽  
Design Methodology ◽  
Ethical Issues ◽  
Hotel Industry ◽  
People With Disabilities ◽  
Legal Framework ◽  
Content Type ◽  
Regulatory Scheme ◽  
The Impact ◽  
Legal And Ethical Issues

Purpose The purpose of this paper is to provide an understanding of the accessibility laws currently in effect in the United Arab Emirates and, specifically, Dubai. Further, it recommends methods of integrating accessible hospitality and tourism in Dubai with core legal and ethical direction in preparation for EXPO 2020. Design/methodology/approach Review of current legislation and analysis of interpretation by industry providers was used to illustrate the impact on the current accessibility environment in Dubai and to recommend a revised regulatory scheme. Findings The paper explains how legal and ethical issues have influenced the planning and building of 5 star hotels in Dubai, and offers recommendations for amendments and additions to the region’s current laws that address needs of people with disabilities (PwD). Originality/value Little research has been conducted in the region concerning the rights and needs of PwD. The paper significantly contributes by demonstrating how an ethical and legal framework will address the needs of PwD thereby aiding in Dubai’s successful hosting of EXPO 2020. This contribution is notably opportune in view of the anticipated changes in applicable legislation.

Revisiting Islamic education: the case of Indonesia

2014 ◽  
Vol 8 (4) ◽  
pp. 261-276 ◽  
Author(s):  
Mohd Roslan Mohd Nor ◽  
Maksum Malim
Keyword(s):  
Design Methodology ◽  
Analytical Approach ◽  
Significant Contribution ◽  
Islamic Education ◽  
Content Type ◽  
Future Studies ◽  
Library Research ◽  
The World ◽  
Long Time ◽  
Muslim Majority

Purpose – The purpose of this study is to attempt to examine the aims and objectives outlined in the formation of Islamic education in Indonesia. This study also looks at the development of Islamic education in general and the various approaches taken by the Indonesian Government. Design/methodology/approach – This study has mainly used a library research methodology. The data relevant to the study were collected and analysed by using an analytical approach. Findings – The study found that there is a significant contribution from the Ministry in formulation of Islamic Education policy in Indonesia. Originality/value – Indonesia is the largest Muslim majority country in the world. Islamic education in Indonesia has been around for a long time. In modern days, many have tried to study on Islamic education in terms of philosophy and objectives to be achieved. This study addresses the Islamic education in Indonesia; hence, it provides values for readers, researchers and those who are involved in future studies of this country.

scholarly journals Penegakan Hukum Terhadap Tindak Pidana Penyelundupan Penyu sebagai Satwa Terlindungi di Bali

2021 ◽  
Vol 2 (2) ◽  
pp. 384-390
Author(s):  
I Komang Arya Sentana Mahendra ◽  
Anak Agung Sagung Laksmi Dewi ◽  
Luh Putu Suryani
Keyword(s):  
Research Method ◽  
Legal Protection ◽  
International Agreement ◽  
Conceptual Approach ◽  
Turtle Species ◽  
Criminal Sanctions ◽  
The World ◽  
Administrative Sanctions ◽  
Research Show

Prohibition of all exploitation of protected animals. Even in the territory of Indonesia, turtle smuggling still occurs, especially in Bali Province where turtle smuggling often occurs. The purpouses of this research are to analyze the legal protection of turtles as protected animals and the criminal sanctions against the perpetrators of turtle smuggling as protected animals? The research method used is normative law, with statutory apporoach and conceptual approach. The results of the research show that forms of legal protection against turtles, if from the international agreement with the CITES agreement (Convention on International Trade in Endangered Species), in Indonesia there are 6 out of 7 types of turtles in the world that are protected under the turtle species law. existing in the protected world based on the law on the determination of wild protected animals, and the forms of sanctions against people who smuggle turtles as protected animals are in the form of administrative sanctions, civil sanctions and criminal sanctions. There are no specific criminal sanctions against turtle smugglers, these sanctions are still incorporated in Law No. 5 of 1990, concluded that legal protection and sanctions against turtles as protected animals in the form of administrative, civil and criminal sanctions, specifically in Bali there are no criminal sanctions against turtle smugglers.

scholarly journals Regulating Internet of Things: The Case of the United Arab Emirates

TEM Journal ◽  
2021 ◽  
pp. 1031-1038
Author(s):  
Ahmad Ghandour ◽  
Brendon J. Woodford
Keyword(s):  
Internet Of Things ◽  
United Arab Emirates ◽  
Legal Framework ◽  
The Internet ◽  
Ethical Challenges ◽  
Smart Technology ◽  
The World ◽  
The Government ◽  
Use Of The Internet ◽  
The Internet Of Things

The Internet of Things is an important component of the smart technology era. It is the way the world is now moving at an accelerated pace. It has enormous benefits to individuals, groups, companies, and enterprises. Like any other technology, however, it brings ethical challenges requiring governments to develop a legal framework to address those concerns over this technology. This study investigates these challenges in the context of the United Arab Emirates as the government has imposed policies to safeguard the ethical use of the Internet of Things. The study concludes that IoT is a sought-after innovation in the UAE but suffers from deployment without compliance to current regulations and ethics which is becoming mandatory.

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