Islamic Banking and Financial Crisis

This chapter offers a literature review discussing the origin, history, and the growth of Islamic Banking, especially in the GCC countries. It provides detailed information regarding how Islamic Banking evolved throughout the years and what are the current Islamic financial products. Another interesting topic covered in this literature review is the performance comparison of Islamic and conventional banks during different time periods. Accordingly, the chapter explores how the financial standing of Islamic banks altered in comparison to conventional banks before and after the financial crisis of 2008 by presenting earlier studies from various countries. It is concluded that some potential challenges and future opportunities of the Islamic Banking are yet to be explored.

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The impact of the global financial crisis on Islamic banking

Handbook of Empirical Research on Islam and Economic Life ◽

10.4337/9781784710736.00020 ◽

2017 ◽

pp. 275-305

Author(s):

Faisal Alqahtani

Keyword(s):

Financial Crisis ◽

Global Financial Crisis ◽

Islamic Banking ◽

The Global Financial Crisis ◽

The Impact

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Global Financial Crisis of Islamic and Conventional Banking in Middle East – A Case Study in Turkey

International Journal of Economics and Finance ◽

10.5539/ijef.v9n8p239 ◽

2017 ◽

Vol 9 (8) ◽

pp. 239

Author(s):

Ayman Abdal-Majeed Ahmad Al-Smadi ◽

Mahmoud Khalid Almsafir ◽

Muzamri Bin Mukthar

Keyword(s):

Financial Crisis ◽

Global Financial Crisis ◽

Banking System ◽

Financial System ◽

Secondary Data ◽

Islamic Banking ◽

The Social ◽

The Global Financial Crisis ◽

The Impact

The financial tools all over the world become extremely decisive in these days. The main goal of this paper is to measure then to discuss the impact of performance of conventional and Islamic banking in Turkey during the financial crisis. some variables such as profitability, liquidity, operational efficiency and business growth are used as a measuring factor to determine the performance for both financial models. The period of study is taken during the financial crisis in 1997 and during the global financial crisis in 2007. The comparison in this study is made between the performances of Islamic banking and conventional banking in Turkey.Some secondary data had examines in this study which was drown from the annual report from one of Turkey bank since 2002 until 2013. SPSS (Statistical Package for the Social Sciences) “18.0” has been used to compare between Islamic finance model and other model. The findings of this paper shows that Islamic financial system is performing superior than conventional financial system for the period of this study. Hence, it can be concluded that the system of Islamic banking is able to sustain and compete with the conventional banking system especially during any financial crisis.

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