Kitap Bölümü Finans
A monetary and financial structure for an interest-free economy: institutions, mechanism and policy
- Yazarlar : Mabid Ali Al-Jarhi
- Editörler : Z. Ahmad
- Kodu: 6361
- Eserin Orjinal İsmi: A monetary and financial structure for an interest-free economy: institutions, mechanism and policy
- Türü: Kitap Bölümü
- Alan: Finans
- Konu(lar): Para, Finansal, Yapı
- Dili: İngilizce
- Yayın Yılı: 1982
- Kitap Ismi: Money and Banking in Islam
- Yayın Yeri: Jeddah
- Yayınevi: International Centre for Research in Islamic Economics, King Abdulaziz University and Institute of Policy Studies, Islamabad
- Sayfa Aralığı: 69-87
- Keywords: Monetary, Financial, Structure
- Anahtar Kelimeler: Para, Finansal, Yapı
- Açıklama: In this paper the author proceeds to identify the main features of the present Western-type financial and monetary structure and compares it with the alternative structure that might exist in an interest-free Islamic economy. What the author proposes is to replace this system with what he calls as productivity based financial-monetary structure. The organizational structure of his alternative system is essentially the same as the existing systems in the U.S. and other Western developed countries: there exist a central bank, a number of commercial banks and the public sector that uses the facilities of the monetary system. However, what is different is how the central and commercial banks and the treasury operate in an interest-free economy. Central bank creates fiat money but not against government interest-bearing securities. It anchors the growth of money supply to the growth rate of the economy and if full employment prevails the rate of inflation will be zero. In his proposed system there is no fractional reserve and the central bank issues certificates as liabilities and holds loan accounts and deposits in member banks and some of its assets are held in the form of cash. The member banks hold assets in the form of cash, equity shares, profit-sharing and leasing accounts while their liabilities consist of non-interest-bearing demand deposits and certificates issued to their customers. The treasury is assigned the role of collecting and distributing the proceeds from Zakah and management of society’s social resources. Finally, in this system there is a multiplicity of financial instruments such as Central Deposits or Lending Certificates, Profit-sharing Certificates, Leasing Certificates, etc. What is important is that none of the financial instruments com- mands any interest; instead what propels the system is that member banks are basically investment banks which participate in different investment projects and make their profits or losses by taking equity position in real investment projects. Thus the present indirect link between the financial market and the goods market established by the intermediation of the financial institutions is replaced by direct participation of banks in productive investment projects.
- Bilgilerin Alındığı Kaynak: Bibliografya Kaydı
Kitap Bölümü
A monetary and financial structure for an interest-free economy: institutions, mechanism and policy
Yazarlar : Mabid Ali Al-Jarhi
Editörler : Z. Ahmad
Detaylar
| Kodu | 6361 |
| Eserin Orjinal İsmi | A monetary and financial structure for an interest-free economy: institutions, mechanism and policy |
| Türü | Kitap Bölümü |
| Alan | Finans |
| Konu(lar) | Para, Finansal, Yapı |
| Dili | İngilizce |
| Yayın Yılı | 1982 |
| Kitap Ismi | Money and Banking in Islam |
| Yayın Yeri | Jeddah |
| Yayınevi | International Centre for Research in Islamic Economics, King Abdulaziz University and Institute of Policy Studies, Islamabad |
| Sayfa Aralığı | 69-87 |
| Keywords | Monetary, Financial, Structure |
| Anahtar Kelimeler | Para, Finansal, Yapı |
| Açıklama | In this paper the author proceeds to identify the main features of the present Western-type financial and monetary structure and compares it with the alternative structure that might exist in an interest-free Islamic economy. What the author proposes is to replace this system with what he calls as productivity based financial-monetary structure. The organizational structure of his alternative system is essentially the same as the existing systems in the U.S. and other Western developed countries: there exist a central bank, a number of commercial banks and the public sector that uses the facilities of the monetary system. However, what is different is how the central and commercial banks and the treasury operate in an interest-free economy. Central bank creates fiat money but not against government interest-bearing securities. It anchors the growth of money supply to the growth rate of the economy and if full employment prevails the rate of inflation will be zero. In his proposed system there is no fractional reserve and the central bank issues certificates as liabilities and holds loan accounts and deposits in member banks and some of its assets are held in the form of cash. The member banks hold assets in the form of cash, equity shares, profit-sharing and leasing accounts while their liabilities consist of non-interest-bearing demand deposits and certificates issued to their customers. The treasury is assigned the role of collecting and distributing the proceeds from Zakah and management of society’s social resources. Finally, in this system there is a multiplicity of financial instruments such as Central Deposits or Lending Certificates, Profit-sharing Certificates, Leasing Certificates, etc. What is important is that none of the financial instruments com- mands any interest; instead what propels the system is that member banks are basically investment banks which participate in different investment projects and make their profits or losses by taking equity position in real investment projects. Thus the present indirect link between the financial market and the goods market established by the intermediation of the financial institutions is replaced by direct participation of banks in productive investment projects. |
| Bilgilerin Alındığı Kaynak | Bibliografya Kaydı |