Andreas Jobst, Peter Kunzel, Paul Mills and Amadou Sy
The most popular form of Islamic finance is commonly referred to as sukuk – wholesale, asset‐based capital market securities. The purpose of this paper is to enhance the general…
Abstract
Purpose
The most popular form of Islamic finance is commonly referred to as sukuk – wholesale, asset‐based capital market securities. The purpose of this paper is to enhance the general understanding of essential policy considerations in the creation and development of sukuk markets.
Design/methodology/approach
This policy paper reviews the key developments in the sukuk market and informs a debate about challenges and opportunities going forward. The paper presents a qualitative analysis of economic, regulatory and legal issues that warrant consideration.
Findings
The paper finds that while the sukuk market continues to generate strong interest by new issuers in Muslim and non‐Muslim countries alike, some critical constraints arising from continued legal uncertainty and regulatory divergences still need to be overcome. As issuers weigh the costs and benefits of sukuk issuance in a broad policy context, continued efforts will be required to overcome a series of economic, legal and regulatory issues.
Originality/value
The paper presents, for the first time, a structured analysis of sukuk markets aimed at identifying key considerations for sovereign debt managers, especially in non‐Muslim countries.
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The purpose of this paper is to critically evaluate the retail sovereign sukuk in Indonesia, which so far is not found elsewhere in the world and is an effective instrument to…
Abstract
Purpose
The purpose of this paper is to critically evaluate the retail sovereign sukuk in Indonesia, which so far is not found elsewhere in the world and is an effective instrument to raise funds for covering government budget deficits.
Design/methodology/approach
The paper adopts qualitative research combining literature studies, valid data from sukuk.com, government official documents and also in-depth interviews with relevant government officials to strengthen the arguments.
Findings
Competitive rates, ability to be bought by individual and risk-free funding are some of the specific features of sukuk, while economic growth and large populations are some of the key success factors.
Practical implications
This study will be the main reference for other governments which are keen to adopt similar instruments for their respective countries.
Social implications
As individual is eligible to buy this sukuk, this may lead to a better wealth distributions
Originality/value
To the best of the author’s knowledge, this paper is the first to comprehensively and critically evaluate the one and only retail sovereign sukuk as an alternative government instrument to raise funds.
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The aim of this paper is to explain why the two most pious Muslim groups in West Africa – the Mourides of Senegal and the Pula Futa of Guinea – are also the most economically…
Abstract
Purpose
The aim of this paper is to explain why the two most pious Muslim groups in West Africa – the Mourides of Senegal and the Pula Futa of Guinea – are also the most economically dominant.
Design/methodology/approach
This question has typically been explained using the ideas of Max Weber, who suggests that the capitalist spirit arose because of the personal characteristics created by Calvinism. This paper looks at a Weberian explanation, adopted to Islam, and also an explanation that is rooted in pure political and economic history.
Findings
It is concluded that the Weberian explanation is germane to the case of the Mourides in Senegal, but does a poor job explaining the economic dominance of the Pula Futa. By contrast, while the economic and political history is important for the economic rise of the Mourides, it seems to account for almost the entire success of the Pula Futa.
Originality/value
These findings are important because they are a reminder of the heterogeneity between both ethnic and religious groups, both in their religious practice and in their economic affairs. The effects of religion, politics, and culture are not uniform for different sects, nations, and ethnic groups. If there is a desire to market to Muslims, develop programs for economic development, or engage in any economic work within Islamic cultures, there is a need to take such heterogeneity into account.
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L'Organisation Mondiale du Tourisme invitait, en 1982, tous les Etats membres et les organisations internationales et nationales à une année de réflexion sur le thème: “pour la…
Abstract
L'Organisation Mondiale du Tourisme invitait, en 1982, tous les Etats membres et les organisations internationales et nationales à une année de réflexion sur le thème: “pour la dignité du voyage: savoir visiter, savoir recevoir”.