Economics at your fingertips  

A Framework for Regulating Islamic Microfinance Institutions

Abdul Ghafar Ismail ()

No 1435-5, Policy Papers from The Islamic Research and Teaching Institute (IRTI)

Abstract: Regulation is crucial for many reasons. More important than that is to produce an effective regulatory framework. In this paper, we will find that the first step in this framework is the philosophical foundation of Islamic microfinance institution’s establishment that is formulated in their operations and incentives. Second, the policy issues related to regulations need to be addressed, among others: Islamic microfinance institution activities and Islamic microfinance institution-philanthropy links; effectiveness and sustainability; shariah based business model; who are the regulators; and ownership. Finally, several guidelines will be introduced to produce environmentally effective regulations, among others are the guideline on: the shariah advisory council, corporate governance, group lending policy, loan loss financing, minimum capital and micro-takaful scheme.

Keywords: regulation policy; Islamic microfinance institutions; regulatory philosophy; shariah (search for similar items in EconPapers)
Pages: 14 pages
Date: 2015-01-19
New Economics Papers: this item is included in nep-mfd
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) Full text (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found ( [301 Moved Permanently]--> [301 Moved Permanently]-->

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:

Access Statistics for this paper

More papers in Policy Papers from The Islamic Research and Teaching Institute (IRTI) Contact information at EDIRC.
Bibliographic data for series maintained by Research Division ().

Page updated 2020-09-22
Handle: RePEc:ris:irtipp:1435_005