№ 1/2018

Ekon Ukr. 2018 (1): 71–81https://doi.org/10.15407/economyukr.2018.01.071

ECONOMY OF FOREIGN COUNTRIES

УДК 339.7

MOZGOVYI Oleg¹, SUBOCHEV Oleksii², YURKEVYCH Oksana³

¹Kyiv National Economic University named after Vadym Hetman
OrcID ID : https://orcid.org/https://orcid.org/0000-0003-1709-8326
²Kyiv National Economic University named after Vadym Hetman
OrcID ID : https://orcid.org/https://orcid.org/0000-0003-2316-6735
³Kyiv National Economic University named after Vadym Hetman
OrcID ID : https://orcid.org/https://orcid.org/0000-0002-8172-0186

ISLAMIC FINANCE DOCTRINE: THE NATURE AND EVOLUTION

The article identifies basic models of Islamic finance industry and provides a critical assessment (compared to conventional finance) оf mechanism of their functioning. Despite having obvious positive aspects, such as limitation of speculative or risky securitization, focusing on financing the real sector of economy and encouraging the direct interrelationship between financial and productive sectors, in our view, the mechanism of Islamic economics in some ways is at variance with a number of fundamental principles of effective economic activity.
Objective factors (demographic, political, economic) cause an increase of role and influence of the industry over regional financial markets and international finance and determine the relevance of further research in this area. Today, Islamic finance comprises such commercial areas as capital markets, asset management and insurance. They represent all segments of modern financial market – commercial banking, operations with equity and venture capital, trade financing, insurance and even financial hedging.
Only a small share of Muslims’ financial relations is provided in accordance with Islamic law. Under conditions of introducing the convenient, liquid and standardized financial instruments and further improvement of regulation for financial markets, redistribution of resources in favor of Islamic financial markets, as well as rapid growth of their share in international finance are expected.

Keywords:Islamic finance, Islamic banking, financial model, riba, gharar, maysir, halal, financial development data, international finance

Article original in Ukrainian (pp. 71 - 81)	Download	Downloads :286
Article original in Russian (pp. 71 - 81)	Download	Downloads :57

The article was received by the Editorial staff on June 19 , 2017

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