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The world has undergone a major shift in technology and blockchain is one of the current technologies that is of interest. The application of this modern technology contributes to the development of societies and helps in accomplishing many financial and non-financial transactions. Many may be worried and hesitant of this technology in terms of its reliability, sustainability and legality from Shari’ah perspective. This paper is an attempt to examine it from the perspective of Maqasid Shari’ah. This study aims to reassure and encourage institutions and countries to adopt and apply blockchain technology as well as to clarify its positive characteristics from the perspective of Maqasid Shari’ah. The method used in this paper is qualitative research. This study has clarified the perspective of Maqasid Shari’ah on blockchain technology by focusing on four key aspects i.e. facilitation, security, transparency, and anti-monopoly.

Women's economic empowerment is an important issue for development in order to achieve inclusive and sustainable growth, and it is also one of the most effective ways to advance the role of women in society. It is therefore a lifeline for bringing Yemeni women into economic life, but the economic opportunities available to Yemeni women are very limited. That is because there are many challenges facing their economic empowerment. Therefore, this study aims to identify the views of Yemeni women regarding the most important challenges and obstacles that stand in the way of economic empowerment of women in Yemen by adopting the analytical descriptive methodology with the help of primary data collected by a developed questionnaire tool, and secondary data which was obtained from official reports, previous studies and other resources relevant to the study topic. The findings indicate that women's financial illiteracy and negative customs and traditions in the society are the most critical challenges to the economic empowerment of Yemeni women, with percentages of 56% and 52% respectively, with other factors receiving various percentages. Meanwhile, 2% of the total sample size (421 women) brought to light other challenges to women's economic empowerment in Yemen, the most important of which was the insufficient proliferation of Islamic financial institutions. Based on the results and findings, the study recommends more attention be paid to making education compulsory in the society, and the gradual correction of negative customs and traditions in Yemeni society through spreading knowledge and awareness, which could improve the chances of economic empowerment of women.

The study aimed to explore the challenges and difficulties faced by Islamic financial inclusion through Islamic financial institutions (banks, microfinance, insurance) in women's economic empowerment in Yemen. This will lead to enhance women's place in economic development when finding appropriate solutions to these challenges. This study applied the qualitative approach by conducting in-depth interviews with the experts comprising eighteen respondents in Islamic financial institutions. The result of respondents showed that there are a number of challenges and difficulties associated with the environment that have implications for overall institutional action and directly or indirectly contribute to women's economic empowerment. Where customs and traditions constitute the biggest external challenge facing Islamic financial institutions, as well as women's financial illiteracy, and the unstable political conditions that Yemen is going through. In addition to internal topics associated with the policies of those institutions themselves, they are ultimately subject to the impact of external problems and challenges. Furthermore, the results of the study will help decision-makers to activate the role of compulsory in society and implement effective plans and strategies to empower women economically.

This research studies public interest (Maslahah) and its consideration in Shari’ah. its classifications and regulations and the significant role it plays in establishing evidence on the contemporary juristic issues. More especially. in the field of Islamic finance and banking sector which issues are increasingly growing and expanding in recent times. The research studies one of these issues. which is the of permissibility of a third-party guarantee of capital in Mudhārabah transaction based on the notion Maslahah. The study was conducted on basis of the resolution adopted by the Shari’ah Advisory Council. Bank Negara Malaysia. (SAC-BNM) on the issue. The researcher used descriptive research method on descriptive related studies to describe the issue. while analytical method was used in analyzing the issue. critically discussing it and providing solution over it. Of the findings arrived at by the researcher are the third-party guarantee is permissible. if he is independent of Mudarib and Rabbul mal. benefactor and there is misconduct or negligence by him. The guarantee is not permissible if it is proven that the capital has been damaged without misconduct by Mudarib. and when the capital is damaged in the normal circumstances. if Mudarib establishes evidence that the damage occurred without misconduct or negligence on his part. it is not guaranteed in order to preserve his interest. and if he is unable to provide evidence that he has not violated the capital. it is guaranteed. in order to preserve the interest of Rabbul mal. and this is the interest consideration.

Commodity murabahah has received extensive exposure since the Islamic financial industry shifted from bay’ bithaman ajil for its banking and financial products. The muamalat based contract which is innovated from the classical tawarruq with certain modifications has proliferated in many of the retail products in Malaysia including home financing. This paper analyses the financing facility offered to Malaysian homebuyers to investigate the extent of safeguards present in the facility when there are project abandonments. The operation of commodity murabahah as practiced in Malaysia for houses under construction are discussed and analysed with respect to their operations to know whether they conform both in form and substance. The analysis is done via library research while semi-structured interviews on operation of the facilities are done with experts in the field. The study finds that the commodity murabahah facility catered lacks the necessary safeguards for customers of Islamic banks. This can further aggravate the situation of homebuyers who have no proper recourse when their under constructed houses are left abandoned by developers. The paper calls for a more Shariah based oriented facility for houses under construction which is close to its muamalat nature in order for the rights and obligations of parties involved in home financing be inherent.

This study aims to examine the effect of applying Total Quality Management (TQM) on the performance of Al-Waqf of Albr societies in the Kingdom of Saudi Arabia. Such charitable organizations lack transparency and are requested to provide adequate financial disclosure. The lack of internal control and scrutiny negatively affects their performance. The study relies on Deming's 14-Point to assess Waqf quality control and effective management and leadership styles. The analysis is qualitative. Interviews and case studies were used to achieve the research objectives. The study fills the research gap and weighs the impact of TQM application for charitable organizations in Saudi Arabia.

The study aimed to clarify the importance of accounting disclosure on the behavior of Cash Waqf (endowments) contributors through the theoretical approach and literature review. In addition, the study tests whether obligatory annual financial statements may facilitate communication between organizations and their shareholders, as the research problem lies in lack of commitment or availability of financial reports. The study uses the qualitative approach through the theoretical method and literature review. The study found that the there are deficient studies in this field, especially in the Kingdom of Saudi Arabia, that is through reviewing previous literature, which prompted the researchers to continue this study in order to answer research questions and achieve the research objectives.

Bank stability and trust levels have been seriously affected by the 2007–2008 Global Financial Crisis, which led to the identification of a range of policies based on past experience intended to overcome the consequences of the crisis. The idea of cryptocurrency was introduced to handle the mistrust of financial intermediaries that led to the liquidity crisis. This study investigates whether the new cryptocurrencies have been able to perform the functions of financial intermediaries and offer the confidence level required by bank depositors, examining their long-run effect on banks’ deposit mobilization. The study applies a cointegration test analysis with a vector error correction model to examine this relationship. Overall results indicate that in the countries studied increases in the market capitalization of the cryptocurrency industry have a significant negative impact on banks’ deposit variability, while decreases have a positive impact, with a long-run equilibrium relationship. The outcomes of the study suggest that in order to regain the trust of depositors and avoid the effects of the cryptocurrency industry, banks should be encouraged to invest directly in cryptocurrency or should consider cryptocurrencies as an alternative investment asset for their portfolio investment diversification strategies during bullish market conditions and avoid them during bearish market conditions. Also, banks can incorporate blockchain technology into their operation system and compete with the cryptocurrency industry side by side in the financial market. If neither of these options is taken, however, the banking system may not be able to compete and sustain in the long term using the current operational model. The outcomes of this study can be used as policy guidance by central banks and the banking industry for the betterment of the industry. TOPICS: Financial crises and financial market history, real assets/alternative investments/private equity, statistical methods, portfolio construction

The paper aim to explore the impact of five challenges on the development of sukuk issuances market in the Kingdom in line with the financial sector development plans within vision 2030 objectives. The study adopted quantitative method by distributing a questionnaire to 115 experts involved in the Saudi sukuk market. The results have been analyzed by Smart PLS 3, and it showed a statistically significant effect on the relationship between the five challenges and the sukuk market development in the Kingdom. At the level of sub-challenges, the results have showed that there was no statistically significant impact between the legal framework regulating sukuk issuance in the Kingdom and sukuk market development. While there was a statistically significant impact of the other four challenges on sukuk market development, namely: (1) Shari’ah governance, (2) secondary market activation, (3) the credit rating (4) yield curve. The research has recommended setting a mandatory framework of Shari’ah governance for sukuk issuance, allowance to retail investors for trading in sukuk, requiring sukuk issuers to credit rating the local sukuk issuance, and finally announcement of the yield curve on Saudi government sukuk and considering it as a benchmark pricing index.

This research explores the potential of cash waqf in generating capital revenue in carrying out social-based investment through social enterprises. Looking closely into two different concepts (i.e., social enterprises and waqf), this research appreciates the understanding on the modern business model of social enterprise and the innovative version of religious social finance (i.e., cash waqf). Depending on qualitative methodology and analytical review, the discussion of this research is developed. These approaches are considered suitable and pragmatic for the suggested business model of social enterprise. Here, an innovative business model with a combination of social enterprise operation and cash waqf is introduced. It has the potential to stimulate further research to innovate religious social finance instruments to current and modern business models. This research proposes a business model of social enterprise that combines cash waqf in its operation for sake of generating capital revenue. Simultaneously, such a business model has the potential to expand the cash waqf in meeting social objectives of the social enterprise. As research findings, it is found that even though waqf is derived from a religious traditional philanthropic instrument, its innovative version of cash waqf can be utilised in generating capital revenue for social enterprises. As long as the required principles of cash waqf as provided under Islamic law is fulfilled, a combination of cash waqf in the operation of social enterprise can be carried out.

Gold trading is a common and important trade in most societies. Recently, many gold-related projects and transactions have emerged in Malaysia, but they are subject of controversy and most of which are not free of usury. Although some types of usury are not detailed in the Holy Quran, there are many Hadiths that explain how riba occurs in the trade of riba-based elements, including gold. Hence, this study will discuss the issue of usury arising from the gold trade and other related fraud programs. The research followed the descriptive and inductive method, tracing the cases and practices that are being implemented in the gold transactions, analysing them, and explaining their legal basis, departing from the legal Islamic texts and the evidences related to this section, in addition to the statement of tricks practiced in the gold trade by fraudsters, the models used in their programs, With their shariah rulings. The research found that most of the frauds in the gold trade involve delay and deferment of delivery and purchase without receipt, and all fraud schemes in the gold trade are not free of usury.

This study aims at determining the investment strategies of Masjids in Malaysia. Drawing from the success story of Tabung Haj, the study has focused on establishing the need for the efficiency in investing Tabung Masjid toward benefiting the public and fulfilling maqasid al-Shariaah (Objectives of Shariaah). The study introduces a Maqasid based framework to test the significance of investing TM. The sample consists of 287 mosques in 9 states of Malaysia. Cross-tabulation, ANOVA, and correlations were conducted on the data collected through self-administered questionnaire. Granger causality test is performed on the forecasted investment and development indicators. Cross-tabulation results indicated that amount of donations and investment strategies of tabung vary states in Malaysia. ANOVA results have proved that money saved by mosques in banks varies significantly among states. Tukey test results indicate that mosques in southern states save less amount of Tabung Masjid in the bank compared to the masjid in other states. Correlation results proved that savings in the bank have a negative relationship with the intention toward general and capital investment. Investment of Tabung Masjid is found to have a significant positive causal relationship with economic development. Data used for analysis is of opinion and forecasted values, the exact amount of donation and investment in various sources could not be obtained. Efficient utilization of Tabung Masjid will allow mosques to play a significant role in shaping the socio-economic profile of Muslim community in Malaysia and similar initiative will also be helpful for any developing countries. Keywords: Investment, Public Funds, Maqasid al-Shariaah, Donations, Malaysia; Charity, Tabung Masjid. Abstrak Kajian ini bertujuan untuk menentukan strategi pelaburan Masjid di Malaysia. Memelajari dari kisah kejayaan Tabung Haji, kajian ini menumpukan kepada keperluan penubuhan untuk kecekapan Tabung Masjid ke arah memberi manfaat kepada orang ramai dan memenuhi Maqasid Al-Shariah (Objektif Syariah). Kajian ini memperkenalkan rangka kerja berasaskan Maqasid untuk menguji kepentingan melabur TM. Sampel ini terdiri daripada 287 masjid di 9 negeri di Malaysia. Tabulasi silang, ANOVA, dan korelasi dijalankan ke atas data yang dikumpul melalui penyelidikan sendiri. Ujian kausal Granger dilakukan pada penanda aras pelaburan dan pembangunan. Hasil penyelarasan menunjukkan bahawa jumlah derma dan strategi pelaburan tabung berbeza-beza di Malaysia. Hasil ANOVA telah membuktikan bahawa wang yang diselamatkan oleh masjid di bank sangat berbeza antara negeri. Hasil ujian Tukey menunjukkan bahawa masjid-masjid di negeri-negeri selatan menjimatkan jumlah Tabung Masjid di bank berbanding dengan masjid di negeri-negeri lain. Hasil korelasi membuktikan bahawa simpanan di bank mempunyai hubungan negatif dengan niat ke arah pelaburan umum dan modal. Pelaburan Masjid Tabung didapati mempunyai hubungan kausal positif yang signifikan dengan pembangunan ekonomi. Data yang digunakan untuk analisis adalah pendapat dan ramalan nilai, jumlah sumbangan yang tepat dan pelaburan dalam pelbagai sumber tidak dapat diperolehi. Pemanfaatan Tabung Masjid yang cekap akan membolehkan masjid untuk memainkan peranan penting dalam membentuk profil sosioekonomi masyarakat Islam di Malaysia dan inisiatif yang sama juga akan membantu mana-mana Negara lain yang sedang membangun. Kata Kunci: Pelaburan, Dana Awam, Maqasid-Al-Shariah, Derma, Malaysia; Amal, Tabung Masjid.

Islamic banking commonly considered as an alternative to the conventional banking system, conducts its business based on certain financial contracts in order to attain profit, while doing away with the element of interest (riba). Among the services offered by Islamic financial institutions (IFI) are financing products and fee-based services to generate profits free from interests and other non-permissible incomes. The fee-based services conducted by Islamic banks may raise some Shari’ah issues such as the practice of charging a fee on services related to loan (qard) facility. Similarly, in financing activities, the IFI also imposes some amount of compensation or related charges in the case of late payment or default events for such financing. This paper aims to discuss the mechanism to determine the calculation of such actual charges and fees from Shari’ah perspective. Nevertheless, this paper does not intend to discuss the issue of “pricing” for Islamic financial products to determine its sales price and profit margin. This paper proposes Shari’ah compliance parameters on the computation of the actual costs for some related financing products offered by Islamic financial institutions.

Purpose This paper aims to present the viability of unit trust waqf (Islamic endowment) as an alternative asset class for waqf creation. Design/methodology/approach This paper starts with the conceptual exploration of the literature in the areas of waqf. The sources of the literature cover authentic sources of the Qurʾān and ḥadīth, as well as secondary sources such as books, journal articles and online resources. Findings This paper provides the conceptual framework of five models of unit trust waqf and their investment management parameters. Originality/value The novelty of this paper lies in its attempt to highlight the importance of waqf investment strategy in ensuring sustainable returns for waqf. It does so by introducing the conceptual models of unit trust waqf as viable mechanisms to pool more cash waqf from individual investors. The sustainability of the capital waqf assets in the form of unit trusts is maintained through the parameters for its application proposed towards the end of the paper.

This paper aims at assessing the motivational factors that influence the customer’s preferences of Takaful over conventional insurance. The customers’ information about the Takaful products and services based on sharia are identified in order to enable them differentiate Takaful and conventional insurance. The research uses mixed method of data collection. This comprises of questionnaires and in-depth interviews with the respondents from four selected Takaful industries in Saudi Arabia. The questionnaires were analysed using simple percentages and for the interviews, thematic analyses were used. Based on the findings of the study, the customer’s preferences on the selection of Takaful over conventional insurance include protection of Takaful product by sharia, support from the government. Similarly, the absence of risk incurred or transferred to participants, funds contributed in the spirit of brotherhood for all members. Moreover, another customer’s preferences is that contributions (tabarru’) are invested in non-interest based capitalization by the Takaful agents and profits are shared according to individual contributions. Based on Takaful, donations are established at the pooling system in line with sharia and they are formed on the bases of sympathy, consciousness of the idea of tabarru’ as well as abstaining from gharar, maysir and riba.

The build, operate and transfer (bot) contract is a new means of project and construction financing, which includes public-private partnership. Many countries are considering the bot contract as a mode of financing for construction projects as all citizens need public infrastructure services. This article is an attempt to describe various modes, structures and arrangements of bot and shed light on possible Sharī‛ah issues to demonstrate that bot is a Sharī‛ah-compliant type of financing.

The build, operate and transfer (bot) contract has widely been applied in developing economies since the participation of private sectors has declined in the reconstruction and funding of public infrastructure. bot is a financing and operating approach, which has been practiced primarily in the area of infrastructure privatization in developing countries. Recently, application of the bot scheme has been carried out in many waqf institutions, especially Majlis Agama Islam Wilayah Persekutuan. The bot approach offers new perspectives in the field of waqf as it has the capability to enhance waqf property for the public’s benefit. Property enhancement is the major reason why waqf is enjoined by Islam. Waqf institutional involvement in developing its property and public infrastructures by way of bot contracts is proving to be a challenging exercise. This article examines the current practice of applying bot contracts in waqf institutions in general and in Majlis Agama Islam Wilayah Persekutuan in particular, with specific reference to the application of other types of contracts. In addition, the practice is discussed in terms of its compliance with the principles of Sharīʿah law. Moreover, this article aims to identify the issues, problems as well as challenges that might face waqf institutions during implementation of bot contracts.

By the introduction of Takaful as an alternative for conventional insurance in the early 1980s and with more than 30 year experience in Islamic Banking and Finance, it is time for Malaysia to make a move in completing its Islamic financial ecosystem by islamizing non-Banking Financial Institutions. This paper aims to investigate a potential approach to apply the concept of cooperative Takaful in transforming the Social Security Organization (SOCSO) into a Shariah-compliant institution using the concept of cooperative Takaful by emphasizing the similarity between current practices of SOCSO and cooperative Takaful. This paper highlights the difference between normal Takaful and cooperative Takaful. This paper proposes that the cooperative Takaful i.e. Musharakah Ta’awuniyyah model to aid the integration and transformation of SOCSO into a Shariah compliant institution. The contribution of this paper is twofold: First, this paper contributes to the existing literature on application of Musharakah Ta’awuniyyah as another alternative for the Takaful model. Second, it provides the possibility for SOCSO to convert its operation to Shariah compliant concept.

Drug is the country’s no one enemy. Drug abuse has caused a lot of social problems, crimes and wasted many of youth’s lives who are supposed to be the futere asset to the country. The goverment has spent a lot of money to set up rehabilitation centres, provide facilties and means of rehabilitative treatement for the drug addicts. This paper will investigate Islamic rulings for drug abuse and drug trafficking and the justifications for imposing capital punishment for the drug trafficker.

In Islam, rape is considered a serious sexual crime. Since it consists of forced sexual intercourse, most of the classical jurists called it zinā bī l-ikrāh, that is, forced unlawful sexual intercourse. The question arises whether rape is part of zinā or an isolated crime. This article focuses on the notion of rape, including a definition of this crime, its punishments, and a comparison between rape and zinā in Islamic jurisprudence.

There has been some confusion over prosecuting rape in modern Islamic legal studies. A question has arisen: should the Islamic court treat the case of rape, in regard of convicting and proving rape, by imposing the same jurisprudential provisions, requirements and legal proceedings as in the case of zinÉ on the ground that rape involves elements of illegal intercourse similar to zinÉ? As such, should the rape victim who complains about rape be charged with qadhf if there is insufficient evidence? This article examines the notions of the prosecution and the required evidence for both rapist and rape victim in Islamic criminal law with special analytical analysis on the Pakistan Enforcement of Hudood Ordinance 1979.

Rape victims undergo double jeopardy as they experience unwanted aggression against their freewill which make them suffer physically and mentally, and at the same time they have to fight to be treated fairly and respectfully within the legal environment. There has been a controversial issue regarding rape prosecution in Islamic legal system as the rape victim would be either charged with zinā (illegal sexual intercourse) because of her confession or qadhf (false accusation) as a result of her failure to bring four male eyewitnesses. This paper aims at investigating the fundamental rights of rape victims provided in Islamic law. This will include legal rights to be defended fairly, exemption of punishment, adequate compensation, and other essential rights. This study will explore opinions and arguments of classical Muslim jurisprudents from various schools of law.

Sexual assault leaves the victims with unbearable emotional pain from the experience. The unwanted aggression against their freewill causes them to suffer physically and mentally. On top of that, they also have to fight to be treated fairly and respectfully during their court trials. There has been some controversy regarding rape prosecution in the Islamic legal system. The reason for this controversy is that the rape victim would usually be either charged with zina because of her confession, or committing qadhf, as a result of her failure to provide four male eyewitnesses. This paper aims at investigating the fundamental legal rights of rape victims who complain of being raped, to be defended fairly, and to get exemption from punishment as provided in Islamic law. This paper also seeks to investigate the admissibility of the individual testimony of the victim against the rapist. This paper suggests that proving rape is not similar to proving zina, because a rape victim who lodges a report or complains of her ordeal of being raped should not be treated the same as a person who confesses to zina. Proving rape is also different from accusing the rapist with committing zina (qadhf). This study will explore opinions and arguments of classical Muslim scholars of Islamic jurisprudence from various schools of thought

Islamic credit card or better known as Credit Card-i is one of the alternative banking products introduced by Islamic financial institutions in Malaysia to substitute the conventional credit card. This paper aims at reviewing the structures and instruments applied by Islamic Financial Institutions in Malaysia from Shariah Compliance perspectives. The method used is descriptive and positive analytical criticism which aims at improving the existing structure.

Research has shown that the default rate is higher for those countries that implement the mortgage-type loans. Many researchers have tried to address this issue, usually by analyzing the repayment collections to reduce the default rate. The introduction of asset-backed securitization (ABS) in Malaysia has benefited the economy. Though only spanning over eight years, the securitization process and its continuous innovation have contributed to resolving and risk managing problems such as lease, auto loans, credit cards receivables and commercial mortgages. This study particularly focuses on the student loan problem, which has not yet been implemented as a securitization process in Malaysia. This work considers the characteristics of Malaysian higher education, suggests a structure for student loan securitization, and studies the potential of the asset-backed securitization conceptual framework in resolving the problem. The expectation is that the new financial instrument will benefit both the students and the government. The main purpose of this research is to investigate the use of Student Loan-Backed Securitization that meets shariah-compliance and can be implemented in Malaysia. It is expected that the Capital Theory may contribute significantly to the positive testimony of Islamic student loan-backed securitization framework. This framework is proposed to create its structure and issue a highly graded and marketable sukuk that complies to global shariah principles, and hence, help the Malaysian government to enhance its National Key Economic Area in meeting its quality global Islamic financial market.