Legal Ethics in Islamic Finance

A. H. M. Ershad Uddin ()
Additional contact information
A. H. M. Ershad Uddin: Kocaeli University, Department of Islamic Law, Faculty of Theology

Chapter 1 in The Regulation of Islamic Financial Institutions (IFIs) and Ethical Oversight in South Asia, 2025, pp 1-38 from Palgrave Macmillan

Abstract: Abstract This chapter lays the theoretical groundwork for this book by framing Islamic finance as a legal-ethical system rooted in Sharīʿah objectives and classical jurisprudential principles. This book argues that a unified governance model for Islamic financial regulation in South Asia is essential, integrating Sharīʿah principles, maqāṣid al-sharīʿah, and the institution of ḥisbah. It contends that current frameworks often prioritize formal Sharīʿah compliance while neglecting deeper ethical objectives. By comparing systems in Pakistan, Bangladesh, India, Afghanistan, Sri Lanka, and the Maldives, the book shows that only a holistic, integrated approach—combining legal theory, institutional regulation, and ethical oversight—can resolve the tensions between compliance and ethics. Examining the role of AAOIFI and IFSB standards, this book introduces the South Asian Ethical Finance Council (SAEFC) as a practical solution to improve justice, accountability, and public welfare. It presents a new, actionable ethical paradigm that bridges classical jurisprudence and modern regulation for Islamic finance in the region.

Date: 2025
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:psibcp:978-3-032-09828-3_1

Ordering information: This item can be ordered from
http://www.palgrave.com/9783032098283

DOI: 10.1007/978-3-032-09828-3_1

Access Statistics for this chapter

More chapters in Palgrave Studies in Islamic Banking, Finance and Economics from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().