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Article
Publication date: 3 September 2024

Jonathan G. Ercanbrack and Ali Ali

This study aims to examine the extent to which traditional juristic approaches to determining intention in Islamic law are altered in the institutional framework and…

Abstract

Purpose

This study aims to examine the extent to which traditional juristic approaches to determining intention in Islamic law are altered in the institutional framework and standard-setting project of the Malaysian state.

Design/methodology/approach

The study used the transnational law theory, which views normativity as culturally, socially and religiously embedded. The development of norms, customs and laws is also contingent on self-maximizing behavior. The Sharīʿa Advisory Council’s interpretation of the bayʿ al-ʿīnah standard is a case study of this approach to the development of law.

Findings

This study shows that traditional approaches to determining the validity of an Islamic contract have been displaced by the institutional logic of the state, which prioritizes uniformity and certainty in law and reflects liberal, Western and capitalistic values. Islamic standard setting is part of the state’s objective to uniformize law due to the globalization of financial markets. The normative collisions in the standard-setting project produce a new jurisprudence based on the state’s uniform and purposive determination of a contract’s validity.

Research limitations/implications

Further research on institutional frameworks is needed to conceptualize how Islamic commercial principles and ethics can be incentivized in the state’s legal systems.

Originality/value

Few works, if any, have examined the interaction of the state’s institutional environment with jurists’ traditional approaches to determining contractual intention. Most scholarship assumes the decisive role of market forces, but the role of law and institutions in this context is under-researched.

Details

International Journal of Islamic and Middle Eastern Finance and Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1753-8394

Keywords

Article
Publication date: 4 April 2023

Fathullah Asni, Afiffudin Mohammed Noor and Muhamad Husni Hasbulah

The purpose of this study is to examine the management of cash waqf fund generation through the implementation of istibdal in Kedah.

Abstract

Purpose

The purpose of this study is to examine the management of cash waqf fund generation through the implementation of istibdal in Kedah.

Design/methodology/approach

The data are obtained through literature and empirical data. The authors first review the literature on the importance of waqf fundraising, the implementation factors of istibdal waqf and the relevance of istibdal method as a waqf fund generation medium to understand the extent to which the scholarly articles have discussed these topics. Furthermore, the authors conducted face-to-face interviews with two Kedah Islamic Religious Council (Majlis Agama Islam Kedah [MAIK]) officers, who were directly involved in the affairs of istibdal waqf to obtain holistic information regarding implementing istibdal waqf properties in Kedah. As a result, several themes are defined from the interview data before being analysed based on the content analysis method.

Findings

The results of the study show two istibdal implementation processes outlined by the Kedah Islamic Religious Council (MAIK), namely, the istibdal implementation process for waqf land registered title deed, and waqf land registered as reserve certificate for religious use like mosque and cemetery. The results also showed three factors in implementing istibdal in Kedah: the acquisition of waqf land by the state authority (PBN), istibdal application by the state education department (JPN) and istibdal application by the mosque committee. Out of eight cases of istibdal implementation, four have generated cash funds for MAIK through investment methods from the sale of waqf lands and rental of replaced shophouses that are able to cover the expenses of managing waqf properties in Kedah. Several suggestions are also recommended for MAIK to improve its istibdal policy, thus enabling the institution to generate cash waqf funds at the maximum rate.

Research limitations/implications

This study only focused on the implementation factors and the generation of cash waqf funds through istibdal in Kedah, while it can be expanded to other states like Terengganu, Kelantan and Penang. Furthermore, this study only interviewed officers who manage matters related to the affairs of waqf properties, as the session can actually be extended to other respondents, such as those specialising in cash fund generation investments and others.

Practical implications

This study proposed some improvements to the policy and guidelines of istibdal waqf property to MAIK after a few shortcomings were identified throughout this study. If improved, these proposals will have a significant impact, especially on the waqf properties involved in the implementation of istibdal, where it has the potential to bring cash generation and ensure the constant economic value of waqf properties.

Social implications

This study has a tremendous impact on society, in which their areas have cash waqf funds that can be developed. It can benefit the needy and increase funds for the welfare expenditure of Muslims through rental income, investment and development. Progress on waqf property provides a high indication of the efficiency of an organisation in managing the waqf property. Thus, the public, especially the rich, is motivated to fulfil their charitable practices through waqf mechanism and share their wealth with the needy.

Originality/value

This study contributes to comprehensive field data on the implementation factors and generation of cash waqf funds through the implementation of istibdal in Kedah. The results of this study are significant to be used by waqf property management.

Details

Qualitative Research in Financial Markets, vol. 16 no. 1
Type: Research Article
ISSN: 1755-4179

Keywords

Article
Publication date: 11 June 2024

Aladdin Musleh and Sohail Ahmad

Ijara is one of the exchange contracts that is based on selling benefits and services. There are several forms of Ijara: Ijara specified objects, specified work and hiring a…

Abstract

Purpose

Ijara is one of the exchange contracts that is based on selling benefits and services. There are several forms of Ijara: Ijara specified objects, specified work and hiring a private or joint employee. The target of all these is obtaining a benefit. For instance, in the specified Ijara, the lessee desires to obtain a benefit from a specified person in particular, and in the forward Ijara, the purpose is obtaining the benefit in accordance with specified specifications. Indeed, Islamic banks can obtain these benefits through Ijara them from their providers and re-Ijara them to customers upon request. Hence, the purpose of this paper is to determine the Shariah ruling of the Islamic law of Ijara persons' benefits. Moreover, it aims to determine to what extent is it possible to consider Ijara and selling the benefits prescribed in disclosure and as a financing instrument in Islamic banks aiming at providing citizens with services, mainly in the virtual era.

Design/methodology/approach

The current research is framed within the descriptive and analytical research through illustrating the nature of Ijara, its conditions, pillars, evidence of its legitimacy and its kinds as well. The methodology used attributes the Quranic verses to their contexts in the Holy Quran and authenticates the noble hadiths of the Prophet.

Findings

The current research concludes that it is legally permissible to lease these benefits and re-lease them. However, in the specified Ijara, the hired person must perform the work himself and it is not permissible to be replaced by a third party, whereas in the forward Ijara, the contracted work is permitted to be carried out by a third party as long as it complies with the specifications required and contracted.

Originality/value

This study contributes to the current literature by providing a guide to Islamic banking regulators to promote Ijara in Islamic banking.

Details

Journal of Islamic Marketing, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 13 September 2024

Dg Nooremah Ag Said, Rose Irnawaty Ibrahim, Azman Ab Rahman and Hafidzi Hamdan

This paper aims to view the tradition of the Prophet in zakat payment, especially the attributed measurements, and adapt these measures to current zakat measurement practices.

Abstract

Purpose

This paper aims to view the tradition of the Prophet in zakat payment, especially the attributed measurements, and adapt these measures to current zakat measurement practices.

Design/methodology/approach

This study is designed with an exploratory sequential mixed method where qualitative data were collected from historical archives and also from the measurement of available ṣāʿ صاع and mud_ مد. These standard measures were collected from Malaysia and other Muslim countries and calibrated at the National Measurement Standards Laboratory (currently carried out by the National Metrology Institute of Malaysia). The volume of the ṣāʿ were tabulated, charted, analyzed and determined.

Findings

Prophet Muḥammad ordered for zakat al-fiṭr زكاة الفطر to measure the crops using ṣāʿ (gallon: volume measure), not raṭl رطل (pound: standard weight). This paper recommends a reference volume for the ṣāʿ, and from this value, the volume for the smaller measure mud and much larger measure wasq وسق were calculated. The agricultural niṣāb (5 wasq) is one of the key parameters in ṣāʿ volume analysis.

Research limitations/implications

This study covers standard measures acquired from Malaysia, Saudi Arabia and the United Kingdom (traceable to India). Several empirical data are attained from previous studies from Saudi Arabia and North Africa. Also, some theoretical data are obtained from kitab tafsir, hadith and kitab turath (books and records written by early scholars). A concern in this study is the ratio of de-husked grains currently approximated at half of un-hulled grains. This might not necessarily be accurate and may differ by different types of grains.

Practical implications

After the introduction of the modern measurement system known as the International System of Units (SI) in 1971, ṣāʿ became obsolete, leaving each state in Malaysia to define and convert ṣāʿ to SI units variously. This paper contributes to standardizing the conversion to one value with an appropriate SI unit, that has traceability to the Prophet’s ṣāʿ. This national reference standard ṣāʿ is essential for zakat al-fiṭr measurement, important for zakat centers and impacting every Muslim in Malaysia. Often overlooked, ṣāʿ is more crucial as a basis in determining and standardizing the seasonal crops niṣāb, unfolding the reasons why the poor are paying the paddy zakat in Malaysia.

Social implications

The Prophet’s tradition for ablution is to use water not more than one mud, this is aligned with the 12th Sustainable Development Goals by the United Nations which promoted the responsible consumption of water. Considering half (adults) of the 1.9 billion Muslims in the world, multiplied by 5 times of prayer, the Muslims will at least use 4.75 billion muds of water for ablution alone in 1 day. This is approximately 3.5 billion liters of water daily, and if they limit their water usage to 1 mud for each ablution, they collectively will save at least four times more water (about 14 billion liters) daily than performing ablution from a running tap. Though for ablution, accuracy is not an issue, the mud impact on all Muslims is vital on a daily basis, literally by volume.

Originality/value

Ṣāʿ is essential in measuring food for the annually obligated zakat al-fiṭr and more crucial as a basis in determining the seasonal crops niṣāb. This paper contributes to the development of a national reference standard ṣāʿ for Malaysia that has traceability to the Prophet’s ṣāʿ.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 22 August 2024

Taylan Budur

This study aims to investigate the impact of leader’s religiosity on teachers’ organizational commitment and leaders’ virtuous behaviors. Second, it is intended to examine the…

Abstract

Purpose

This study aims to investigate the impact of leader’s religiosity on teachers’ organizational commitment and leaders’ virtuous behaviors. Second, it is intended to examine the significant influence of Al-Ghazali’s fundamental virtues – wisdom, justice, temperance and courage – on the level of commitment displayed by teachers in K12 schools.

Design/methodology/approach

To analyze this connection, a total of 335 surveys were collected from K12 private schools situated in the Kurdistan Region of Iraq. The data were then evaluated using confirmatory factor analysis and structural equation modeling.

Findings

It has been found that leaders’ virtuous behaviors have significant positive effects on teachers’ commitment. Furthermore, while religiosity did not directly influence teachers’ commitment, the virtuous behaviors of leaders played a significant mediating role in this relationship.

Originality/value

This research fills a gap in the literature by exploring the impact of Islamic ethical principles on employee commitment, specifically within the context of K12 education in the Kurdistan Region of Iraq. It emphasizes the critical role of leaders’ virtuous behaviors in improving employee commitment.

Details

International Journal of Ethics and Systems, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2514-9369

Keywords

Article
Publication date: 29 March 2024

Mohd Shahid Mohd Noh, Suffian Haqiem Nor Azelan and Muhammad Izzul Syahmi Zulkepli

This study aims to systematically review the literature on modern Islamic finance transactions pertaining to Gharar dimensions. Gharar is defined as uncertainty that potentially…

Abstract

Purpose

This study aims to systematically review the literature on modern Islamic finance transactions pertaining to Gharar dimensions. Gharar is defined as uncertainty that potentially leads to ambiguities and conflicts in contracts.

Design/methodology/approach

The articles reviewed in this study consisted of 13 articles related to Gharar published between 2013 and 2022. All selected articles were empirically and descriptively searched using specific keywords and strings. The main sources for this study were Scopus and Web of Science (WoS), whereas Google Scholar was a supportive database.

Findings

The review found that the dimensions that discussed previous research were trying their best to elaborating Gharar in modern financial transactions. They also demonstrate that rigorous study and deployment of the definition remain in the context defined by jurisprudence scholars. The focus of recent studies pertaining to Gharar is derivatives products that indicate high possibility of uncertainty in its operation.

Research limitations/implications

This method relies heavily on the accessed database, namely, Scopus and WoS, also referred to the articles as recommended by the databases. Furthermore, the criteria of inclusion and exclusion of papers outlined by the authors deemed as an intrinsic limitation in writing systematic literature review.

Originality/value

To the best of the authors’ knowledge, this paper is original in its nature whereby the scholars had different comprehension on how Gharar exists in transaction but they still centred in its original meaning of uncertainty. As a result, this paper also realized how Gharar were interpreted differently relied on the contract’s nature and behaviour. In addition, this paper is expected to contribute to understand how Gharar been interpreted in modern finance transactions and finally reached to the point that further research is needed in establishing Gharar parameter for each contract in Islamic commercial law.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

Book part
Publication date: 28 June 2024

Clara Y. Young

As a person, the author is a sum of her experiences. Whether those experiences are good, bad, or indifferent. The author has learned who she is, how to handle situations and the…

Abstract

As a person, the author is a sum of her experiences. Whether those experiences are good, bad, or indifferent. The author has learned who she is, how to handle situations and the value of always being honest with others and herself. The sum of these experiences has helped her to be a professional person and to navigate the higher education environment. The author is proud of her contributions to students, as an advocate, to teacher education with the students she encountered, and financially by making contributions to the Foundation. The author truly enjoyed her experiences in higher education and is thankful for the opportunity to pursue a doctorate. As a first-generation college student hailing from a town with a population of 5,900 (1972), the author had monumental experiences. She was able to accomplish her desire to travel, be an author, and work at an HBCU before retiring. It is her hope that what is read from her writing will be enlightening for the life of anyone who reads it.

Details

Journeys of Black Women in Academe
Type: Book
ISBN: 978-1-83549-269-7

Keywords

Article
Publication date: 16 August 2024

Ibtisam @ Ilyana Ilias, Mastika Nasrun and Nurul Aini Muhamed

This study aims to investigate the current practices among selected non-bank financial institutions (NBFIs) in Malaysia in offering Islamic personal financing and the multiple…

Abstract

Purpose

This study aims to investigate the current practices among selected non-bank financial institutions (NBFIs) in Malaysia in offering Islamic personal financing and the multiple challenges faced by them.

Design/methodology/approach

The qualitative research methodology was used, and primary data was collected using semi-structured interviews with 10 respondents consisting of NBFIs’ representatives and Shariah advisors.

Findings

Most Islamic personal financing practice is based on tawarruq. Among the major challenges faced by NBFIs are the absence of a comprehensive legal framework, Shariah non-compliance risks, cost, human resources and risk management. Recommendations include establishing a proper legal framework and Shariah governance. The study also recommends centralising at the regulatory level aspects such as training, commodity murabahah system and the department performing the Shariah advisory and control functions.

Research limitations/implications

Online interviews were conducted during the early wave of the COVID-19 pandemic in 2020 with a limited number of respondents due to people’s hesitancy to participate during the pandemic.

Practical implications

The findings will guide regulators and industry players concerning the challenges that must be addressed and the recommendations that can be considered in ensuring complete adherence to Shariah principles for the offering of personal financing. Eventually, Muslim society in need of cash will benefit from the broader choice of Shariah-compliant personal financing.

Social implications

The research highlights the weaknesses of self-regulation in guaranteeing Shariah compliance and the need for regulatory intervention.

Originality/value

This is a pioneering empirical study that investigated the offering of Islamic personal financing among NBFIs in Malaysia, the challenges and the way forward.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 29 September 2023

Burak Doğan and Sinan Ertemel

This study aims to analyze notable distribution dispute cases from Islamic law history. The authors will assess these alongside resolutions proposed by historical authorities…

Abstract

Purpose

This study aims to analyze notable distribution dispute cases from Islamic law history. The authors will assess these alongside resolutions proposed by historical authorities, some of which evolved into established Islamic case law. In addition, the authors intend to apply classic fair division rules to these cases, providing alternative solutions. Using a game-theoretical approach, the authors plan to compare Islamic solutions with traditional division rules through axiomatic analysis. The goal of this study is to systematically explore the unique principles underpinning Islamic distributions.

Design/methodology/approach

In this study, the authors collate Islamic inheritance law disputes involving conflicting claims, unresolvable by primary Islamic law sources, from historical and modern texts. The authors formally model these as claims problems, surplus-sharing problems and adapted claims problems. Concurrently, the authors gather the proposed solutions and historical backgrounds offered by the era’s authorities and jurists. These solutions are axiomatically generalized into rules, while the axioms characterizing distribution rules are checked if they are aligned with Islamic norms and values. This approach facilitates a comparison between Islamic distributions and classic division rules.

Findings

The 'Awl and Radd doctrines, used in Islamic inheritance law, are axiomatically equivalent to the Proportional Rule, a prevalent non-Jewish division rule. These doctrines present solutions impervious to manipulation by legal heirs through rights transfer, unlike other possible distributions. Ibn 'Abbas' solution for Awliyya cases uses sequential priorities and diverges uniquely from classic fair division rules in the literature. In addition, it is established that Abu Yusuf's (b. 729) distribution for a legal dispute is axiomatically identical to Abraham ibn Ezra's (b. 1089) division rule.

Research limitations/implications

There is a noticeable dearth of comprehensive studies investigating contentious disputes concerning resource claims within Islamic law. Many of these studies are lacking in-depth analyses of diverse cases, casting doubts on their reliability. As a result, a robust focus is needed on case collection prior to any analytical process. Future research should concentrate on collating instances of fair division problems throughout Islamic history, as well as separately collecting methods of Islamic sharing. This procedure may lead to the characterization of various Islamic regulations, thereby emphasizing distinct Islamic principles. In forthcoming studies, conducting an exhaustive axiomatic evaluation of the cases and proposed resolutions is imperative.

Practical implications

This research illuminates existing knowledge gaps, setting a course for novel research trajectories. It underlines the fair division literature’s oversight of disputes within Islamic law, despite the plentiful existence of contentious cases. The research underscores the relevance of cooperative game theory as a tool for dissecting Islamic legal disputes. By accounting for unique Islamic norms and principles, this study lays a foundation for a nuanced comprehension of the dynamics and outcomes of legal disputes. By integrating an interdisciplinary approach, this research strives to bridge the gap between game theory and Islamic law.

Social implications

Beyond addressing a significant research lacuna, this study carries extensive societal implications. By shedding light on enduring debates within Islamic law, it encourages a rejuvenated understanding of the evolution and interpretation of legal disputes. The axiomatic disparities between rulers’ and jurists’ methods provide invaluable insights within the Islamic context, bolstering the understanding of sociocultural dynamics that influence legal decision-making. This research has the potential to shape legal discourse, guide policymaking and spur scholarly, juristic and societal dialogue. Consequently, it may foster a more comprehensive and enlightened approach toward the resolution of legal disputes in Islamic law.

Originality/value

To the best of the authors’ knowledge, this study is the first to examine Islamic law’s historical legal disputes from a game-theoretical standpoint. Existing studies rarely collect distribution disputes systematically, and none scrutinize the axiomatic rationales underlying authorities’ and jurists’ distributions, opting instead to focus on historical backgrounds. While the fair division literature extensively examines disputes, it often overlooks those originating from Islamic law, which presents a rich source of disputes that can be modeled as fair division problems. This research makes a distinct contribution by incorporating disputes from Islamic law into the existing body of cooperative game theory literature.

Details

Journal of Islamic Accounting and Business Research, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1759-0817

Keywords

Article
Publication date: 28 February 2023

Saeed Awadh Bin-Nashwan, Mahmood Hussain Shah, Hijattulah Abdul-Jabbar and Lutfi Hassen Ali Al-Ttaffi

Despite the significant growth in Islamic economies and the increasing number of Muslim youths inclining digital services, empirical-based research addressing the adoption of…

Abstract

Purpose

Despite the significant growth in Islamic economies and the increasing number of Muslim youths inclining digital services, empirical-based research addressing the adoption of digital Islamic services is still scarce. Particularly, as a new term in the Islamic finance industry, ZakaTech has recently emerged as a modern term describing novel technologies adopted by zakat (compulsory levy on all believing and practicing high-net-worth Muslims) institutions; yet, it has largely been neglected in the literature. Therefore, this paper aims to propose an integrated model that scrutinizes the factors of unified model of acceptance and use of technology (UTAUT) of ZakaTech, combined with social cognitive theory (SCT), especially in a time of COVID-19 social distancing.

Design/methodology/approach

The UTAUT–SCT model was validated via SmartPLS structural equation modeling by using a valid sample of 510 users (individual zakat payers) from Saudi Arabia.

Findings

The results demonstrated the suitability of the integrated UTAUT–SCT model in predicting zakat payers’ intention to use ZakaTech services. This proposed model has 70% explanatory power to explain variance in intention. All UTAUT constructs are statistically significant, except for effort expectancy. Social isolation caused by the pandemic and trust in e-zakat system exerted a significant influence on the inclination to uptake ZakaTech services.

Originality/value

To the best of the authors’ knowledge, this research is among the first research that studies Muslims’ adoption of ZakaTech during COVID-19. Particularly, this study could add value to FinTech acceptance literature by empirically examining an integrated framework of UTAUT–SCT in a context as modern and unique as ZakaTech.

Details

Journal of Islamic Accounting and Business Research, vol. 14 no. 8
Type: Research Article
ISSN: 1759-0817

Keywords

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