Issues & challenges of applying Islamic banking in Zanzibar: a way forward

The operation of Islamic banking in Zanzibar started in 2011 to boost economic activities and meet the demand of its people. However, the introduction of Islamic banking was not followed by any legal amendment to suit the operation of Islamic banking in the country as per Islamic principles. This...

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Main Authors: Mustafa, Mzee Mzee, Othman, Ahmad Azam
Format: Article
Language:English
Published: Penerbit Universiti Sultan Zainal Abidin (UNiSZA) 2020
Subjects:
Online Access:http://irep.iium.edu.my/80993/
http://irep.iium.edu.my/80993/1/80993_Issues%20%26%20challenges%20of%20applying%20Islamic.pdf
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author Mustafa, Mzee Mzee
Othman, Ahmad Azam
author_facet Mustafa, Mzee Mzee
Othman, Ahmad Azam
author_sort Mustafa, Mzee Mzee
building IIUM Repository
collection Online Access
description The operation of Islamic banking in Zanzibar started in 2011 to boost economic activities and meet the demand of its people. However, the introduction of Islamic banking was not followed by any legal amendment to suit the operation of Islamic banking in the country as per Islamic principles. This paper, therefore, examines different laws which governed the Islamic banking in Zanzibar to find how far they support the operation of Islamic banking. The findings of this paper revealed that some of the laws in Zanzibar contain provisions that do not support Islamic banking transactions. The methodology adopted in this paper is based on the content analysis of legislations, leading textbooks, and journal articles. The study used a comparative method to address the study in question. The study recommends amendment of some laws such as the Contract Decree, 1917 and Transfer of Property Decree, 1917, Stamp Duty Act 2017, and Value Added Tax Act, 1998 for improving the legal regime governing Islamic banking transactions in Zanzibar.
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spelling iium-809932020-06-23T07:39:01Z http://irep.iium.edu.my/80993/ Issues & challenges of applying Islamic banking in Zanzibar: a way forward Mustafa, Mzee Mzee Othman, Ahmad Azam BPH Islamic Economics HG3368 Islamic Banking and Finance The operation of Islamic banking in Zanzibar started in 2011 to boost economic activities and meet the demand of its people. However, the introduction of Islamic banking was not followed by any legal amendment to suit the operation of Islamic banking in the country as per Islamic principles. This paper, therefore, examines different laws which governed the Islamic banking in Zanzibar to find how far they support the operation of Islamic banking. The findings of this paper revealed that some of the laws in Zanzibar contain provisions that do not support Islamic banking transactions. The methodology adopted in this paper is based on the content analysis of legislations, leading textbooks, and journal articles. The study used a comparative method to address the study in question. The study recommends amendment of some laws such as the Contract Decree, 1917 and Transfer of Property Decree, 1917, Stamp Duty Act 2017, and Value Added Tax Act, 1998 for improving the legal regime governing Islamic banking transactions in Zanzibar. Penerbit Universiti Sultan Zainal Abidin (UNiSZA) 2020-06-30 Article PeerReviewed application/pdf en http://irep.iium.edu.my/80993/1/80993_Issues%20%26%20challenges%20of%20applying%20Islamic.pdf Mustafa, Mzee Mzee and Othman, Ahmad Azam (2020) Issues & challenges of applying Islamic banking in Zanzibar: a way forward. International Research Journal of Shariah, Muamalat and Islam (IRJSMI), 2 (4). pp. 22-34. E-ISSN 2682-8553 http://www.irjsmi.com/PDF/IRJSMI-2020-04-06-03.pdf 10.35631/IRJSMI.24003
spellingShingle BPH Islamic Economics
HG3368 Islamic Banking and Finance
Mustafa, Mzee Mzee
Othman, Ahmad Azam
Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title_full Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title_fullStr Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title_full_unstemmed Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title_short Issues & challenges of applying Islamic banking in Zanzibar: a way forward
title_sort issues & challenges of applying islamic banking in zanzibar: a way forward
topic BPH Islamic Economics
HG3368 Islamic Banking and Finance
url http://irep.iium.edu.my/80993/
http://irep.iium.edu.my/80993/
http://irep.iium.edu.my/80993/
http://irep.iium.edu.my/80993/1/80993_Issues%20%26%20challenges%20of%20applying%20Islamic.pdf