REVIEW OF CONTEMPORARY PRACTICES OF ISLAMIC FINANCIAL INSTITUTIONS FROM THE SHARIAH PERSPECTIVE

Abstract

Compliance to Shariah requirements is an important aspect of sustainability of Islamic financial institutions. Contemporary debate on above is a healthy aspect its emphasis Islamic finance industry to be strictly shariah compliant. There are continuous arguments and reviews are pondered on the certain contemporary practices of Islamic financial Institutions. This paper analyzes the practices of Islamic banking from shariah practitioner’s perspective. In order to gather data, this paper employed qualitative approach by conducting semi structured interviews with two practicing shariah committee members of Islamic financial institutions in Malaysia. The responses where thematically analyzed. The outcome of the study congregated the views of shariah experts and real examples to support our evaluation of the contemporary practices of Islamic banks. All the discussions and recommendations highlighted in this study are part of academic exercises for the progressive and productive improvement of Islamic banking industry