LEGAL AND REGULATORY ISSUES OF ISLAMIC FINANCE IN TURKEY: A QUALITATIVE DISCUSSION

Murat Yas

Journal of Central Banking Law and Institutions, 2023, vol. 2, issue 3, 401-434

Abstract: This study aims to explore issues related to Islamic financial regulations in Turkey through the use of semi-structured interviews. A total of 12 respondents were involved, including regulators, members of the Central Advisory Board (CAB), the Advisory Board of Islamic Financial Institutions (IFIs), and managers from IFIs in Turkey. The results highlight consistent calls for the establishment of an act for the Participation finance industry. This act is seen as a means to ensure tax neutrality, reinforce norm hierarchy, prevent the imitation of conventional financial products, and mitigate Shari’ah non-compliance risk. Additionally, our empirical findings emphasise the importance of enhancing stakeholder engagement, clarifying roles, establishing a robust organizational structure, and enhancing transparency and independence for regulatory authorities. Improved regulatory governance is crucial for enhancing regulatory outcomes. Lastly, the study underscores the need for standardised guidelines for PFIs and emphasises the significance of their voluntary implementation.

Keywords: Islamic Finance; Regulation; Law; Challenges; Recommendations (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

Downloads: (external link)
https://jcli-bi.org/index.php/jcli/article/view/169/44 (application/pdf)

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:idn:jclijn:v:2:y:2023:i:3b:p:401-434

DOI: 10.21098/jcli.v2i3.169

Access Statistics for this article

Journal of Central Banking Law and Institutions is currently edited by Dr. Arie Afriansyah

More articles in Journal of Central Banking Law and Institutions from Bank Indonesia Contact information at EDIRC.
Bibliographic data for series maintained by Sudiro Pambudi () and R. Dwi Tjahja Kusumo Wardhono ().