DOCSLIB.ORG

Innovation in Participation Banks: a Review on Turkey

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Innovation in Participation Banks: a Review on Turkey Second International Scientific Conference on Economics and Management - EMAN 2018 ,1129$7,21,13$57,&,3$7,21%$1.6$5(9,(:21785.(< <XVXI(60(5 7ROJD8/862< )DUXN'$<, '2,KWWSVGRLRUJ(0$1 $EVWUDFW Innovation is defined as a change that makes money. Innovation increases the competitive power of businesses and provides significant advantages in the competition process by creating different products or services that are provided by the competitors. Innovation is more prominent in the manufacturing sector, however, the importance of innovation has also been increasing rapidly in the service industry in recent years. As the share of the banking sector increases in the service industry, the banks also gain an importance in the service industry. Thus, innovation in banking is very important in diversifying financial instruments and increasing productivity. Increased levels of financial success have been observed with the implementation of the financial innovation process in the banking sector. It is stated that the share of participation banking in the world banking sector is increasing day by day in the studies related to banking activities. Participation banking, also referred to as Islamic finance, is developing new financial instruments in accordance with Islamic rules to compete in the world banking sector. Participation banks, which offer interest-free banking services to their customers, have developed innovative products and are offering these services to their customers to provide a better quality service. From this point on, the first part of this study reveals the historical development of the participation banks from the beginning of their establishment up until today. The role of participation banking and its importance in the banking sector has been examined from a financial standpoint. In this study, innovation procedures in participation banks are explained. The effect innovation processes have on the financial income and expenses have been examined. Despite the increase in the incomes of the banks, it was seen that the innovative processes did not directly affect the profitability of the bank. It is recommended for new models to be developed for profitability-enhancing innovative processes. .H\ZRUGV: Islamic Finance, Participation Banking, Innovation, Innovation Management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justiceVLJQLILHVWKHPRUDOV\VWHPWKDWOLHVDW /HFWXUHU'U6LQRS8QLYHUVLW\7KH*HU]H9RFDWLRQDO6FKRRO3URJUDPRI7RXULVPDQG+RWHO0DQDJHPHQW 6LQRS785.(< $VVRFLDWH 3URIHVVRU 'U .DVWDPRQX 8QLYHUVLW\ 7KH )DFXOW\ RI (FRQRPLFV DQG $GPLQLVWUDWLYH 6FLHQFHV 'HSDUWPHQWRI%DQNLQJDQG)LQDQFH.DVWDPRQX785.(< $VVLVWDQW 3URIHVVRU 'U .DVWDPRQX 8QLYHUVLW\ 7KH )DFXOW\ RI (FRQRPLFV DQG $GPLQLVWUDWLYH 6FLHQFHV 'HSDUWPHQWRI%XVLQHVV$GPLQLVWUDWLRQ.DVWDPRQX785.(< Second International Scientific Conference on Economics and Management - EMAN 2018 WKHKHDUWRI,VODPLFHFRQRPLFV,QKXPDQDQGLPPRUDOSURILWLQJDQGXQMXVWHQULFKPHQWVLJQLI\ D VRFLHW\ ZLWKRXW D VHQVH RI MXVWLFH ,VODPLF ILQDQFH DLPV WR HUDGLFDWH XQHWKLFDO HFRQRPLF DFWLYLWLHV7KHIDFWWKDWWKHYDOXHRIGHSHQGHQWRQWLPHDQGPRQH\ORVHVLWVYDOXHZLWKWLPH IRUFHVDQLQWHUHVWEDVHGV\VWHPWREHFUHDWHGDQGWKLVFDXVHVLQIODWLRQZKLFKEULQJVLQWHUHVW ZLWKLW,QWHUHVWDULVHVIURPWKHIDFWWKDWWKHYDOXHRIPRQH\LVWKHWLPHYDOXHKRZHYHUWKH ,VODPLFHFRQRP\DFFHSWVQRWLPHYDOXHRIPRQH\$QLQWHUHVWEDVHGEDQNLQJV\VWHPOHDGVWRD PDVVLYHHFRQRPLFDQGVRFLDOGHSUHVVLRQLQWKHVRFLHW\DQGWKLVOHDGVWRWKHHPHUJHQFHRIWKH ,VODPLFILQDQFHV\VWHPEconomic injusticeZLOOEHSUHYHQWHGLQVRFLHW\ZLWKWKLVV\VWHP,Q ,VODPDQeconomic person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econd International Scientific Conference on Economics and Management - EMAN 2018 IXQGVZHUHDVVHWVVXEMHFWWR7DNDIXOZHUHDQGRWKHULQWHUHVWIUHHILQDQFLDOLQVWLWXWLRQV DPRXQWHGWR 7.%% 6DXGL$UDELDOHDGVWKHLQWHUHVWIUHHILQDQFLDODVVHWVLQWKH ZRUOGZLWKDVVHWVRIELOOLRQ86GROODUVDQGLVIROORZHGE\,UDQZLWKDVVHWVRIELOOLRQ 86GROODUVDQG0DOD\VLDUDQNVWKLUGZLWKDVVHWVRIELOOLRQ86GROODUVZKLOH7XUNH\UDQNV HLJKWKZLWKDVVHWVRIELOOLRQ86GROODUV 7.%% 7KH LQWHUHVWIUHH ILQDQFLDO V\VWHP FRQWLQXHV WRJURZQRWRQO\LQ,VODPLFFRXQWULHVEXWDOVR Dr. Yusuf ESMER LQPDQ\RWKHUSDUWVRIWKHZRUOG)LYHEDQNV Lecturer, Dr., Sinop RSHUDWHLQWKHILHOGRISDUWLFLSDWLRQEDQNLQJLQ University, The Gerze 7XUNH\ RQH RI WKH ORFRPRWLYH FRXQWULHV RI Vocational School, WKH ,VODPLF ZRUOG $FFRUGLQJ WR WKH Program of Tourism and Hotel Management, DQQXDO UHSRUW RI WKH 3DUWLFLSDWLRQ %DQNV Sinop/TURKEY $VVRFLDWLRQRI7XUNH\WKHWRWDODVVHWVRIWKH 7XUNLVKEDQNLQJVHFWRUDPRXQWELOOLRQ OLUDV DQG WKH WRWDO DVVHWV RI SDUWLFLSDWLRQ EDQNVDPRXQWWRPLOOLRQOLUDVZLWKDVKDUHRILQWKHEDQNLQJVHFWRU7KHWRWDO RIVKDUHKROGHUV¶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
Load more

Recommended publications
  • Participation Banking in Turkey and Its Effects on the Turkish Financial System
    Balkan and Near Eastern Journal of Social Sciences Varsak, 2017 (03) Special Issue: Balkan ve Yakın Doğu Sosyal Bilimler Dergisi Economic and Social Development in Balkan Countries Participation Banking in Turkey and Its Effects on the Turkish Financial System Dr. Serkan VARSAK1 1 Bilecik Şeyh Edebali Üniversitesi, [email protected] Abstract: The share of participation banking in the banking system keeps increasing both in Turkey and the world. Participation banking is not a rival to the conventional banking system but it is an integral part of the system. Participation banking and its tools contribute to the increase in the financial depth in Turkey. The share of participation banking in total banking system in Turkey is about 5 percent which is lower than expectations. In this study, operations of participation banking in Turkey and its complementary effects on the financial system have been analyzed. Keywords: Participation Banks, Turkish Financial System, Participation Banking The main function of participation banking is the Introduction contribution it makes to the real economy. Depositors who wish to engage in economic Interest-free financial instruments and activities such as production, service, investment, participation banks offer banking services for the etc. may be included in the participation banking procurement of machinery, equipment and real system in an attempt to transform their savings estate needed by the trade and industry. The basic into a production input. Ultimately, people tend to dynamic in this system is to share both profit and route their saving into the participation banking loss with the depositors without giving a fixed system in Turkey and the Islamic banking system in income guarantee.
    [Show full text]
  • Do Participation Banks Contribute to Economic Growth? Time-Series Evidence from Turkey
    bilimname XLII, 2020/2, 155-180 Arrival Date: 6.19.2020, Accepted Date: 10.20.2020, Publishing Date: 10.31.2020 doi: http://dx.doi.org/10.28949/bilimname.811760 DO PARTICIPATION BANKS CONTRIBUTE TO ECONOMIC GROWTH? TIME-SERIES EVIDENCE FROM TURKEY Ali Gökhan YÜCELa b Ahmet KÖSEOĞLU Abstract One of the most important goals of developing nations is to achieve rapid economic growth. There is a consensus in the literature of economics that a well- developed financial sector will accelerate economic growth. However, few studies have examined the link between participation banks and economic growth. To contribute to the literature, this study aims to analyze the relationship between participation banks and economic growth for the case of Turkey. To reach this purpose, we established a neoclassical growth model by employing gross domestic product, total credits given by participation banks, gross fixed capital formation and the number of employed persons using time series data covering the period of 2005Q4-2020Q2. We conducted a battery of unit root tests, co-integration, and causality tests. The results reveal that there is a long run stable relationship among the variables. As for the long-run estimators, a 1% increase in gross fixed capital formation, employment and credits given by participation banks will lead to 0.715%, 0.422% and 0.021% increase in economic growth in Turkey. These findings suggest that participation banks, as well as capital and labor, have a statistically significant impact on the economic growth of Turkey. The causality test results show that there is a one- way causal relationship from participation banks’ funds to economic growth both in the short and long run but not vice versa.
    [Show full text]
  • Banking Focusing on Human and Production
    BANKING FOCUSING ON HUMAN AND PRODUCTION 2020 ANNUAL REPORT Türkiye Finans Katılım Bankası A.Ş. - Annual Report Reporting Period: 01.01.2020 - 31.12.2020 Corporate Title: Türkiye Finans Katılım Bankası Anonim Şirketi Headquarters Address: Saray Mahallesi Sokullu Caddesi No: 6 Ümraniye/İstanbul Headquarters Telephone: 0216 676 20 00 (pbx) Headquarters Fax: 0216 676 29 05 Website: www.turkiyefinans.com.tr E-mail: [email protected] Registered E-mail: [email protected] SWIFT Code: AFKBTRIS Trade Register No: 401492 İstanbul Trade Register Directorate Central Registry (MERSİS) No: 0068006387095226 CONTENTS Presentation Management and Corporate Financial Information and Assessment Governance Practices On Risk Management 2 Türkı̇ye Fı̇nans in Brief 50 Independent Auditor’s Report on 78 The Audit Committee’s Assessment 3 Our Vision, Our Mission, Our The Annual Report of The Board of of Internal Audit, Internal Control, Corporate Values Directors Risk Management and Compliance 4 Türkı̇ye Fı̇nans’ Milestones Functions; Committee Activities 52 Board of Directors and Audit During The Reporting Period 8 Awards Committee 81 Information Concerning Risk 10 Summary Financial Information 54 Executive Vice Presidents Management Policies by Risk Type 12 Amendments to the Articles of 56 Unit Managers Within Internal 82 Information Concerning Risk Association and their Reasons Systems Management Policies by Risk Type 12 Capital and Shareholder Structure 57 Organization Chart 84 Information Regarding 13 About the National Commercial 58 Governing
    [Show full text]
  • Participation Banks 2019
    PARTICIPATION BANKS 2019 CONTENTS Bu PDF belge size daha rahat bir navigasyon imkanı sunmak için kodlanmıştır. İçindekilerde yer alan konu başlıklarına tıklayarak, üst menü navigasyonunu ve ileri‑geri oklarını kullanarak ilgili bölümlere ulaşabilirsiniz. Sayfa üstlerinde yer alan üç çizgiye tıklayarak içindekilere geri dönebilirsiniz. ESTABLISHED IN SECRETARY GENERAL E‑MAIL 2002 Osman AKYÜZ [email protected] MEMBERS AUDITORS WEBSITE Participation banks operating in Turkey Süleyman SAYGI‑İsmail GERÇEK www.tkbb.org.tr/en CHAIRMAN HEAD OFFICE Metin ÖZDEMİR Saray Mahallesi, Dr. Adnan Büyükdeniz Ziraat Katılım Bankası A.Ş. Caddesi Akofis Park C Blok No: 8 Kat: 8 BOARD MEMBERS 34768 Ümraniye/İstanbul Albaraka Türk Katılım Bankası A.Ş. Türkiye Emlak Katılım Bankası A.Ş. PHONE Kuveyt Türk Katılım Bankası A.Ş. +90 216 636 95 00 (PBX) Türkiye Finans Katılım Bankası A.Ş. Vakıf Katılım Bankası A.Ş. FAX Ziraat Katılım Bankası A.Ş. +90 216 636 95 49 PARTICIPATION BANKS 2019 1 INTRODUCTION 2 PARTICIPATION BANKS 2019 PARTICIPATION BANKS 2019 3 PARTICIPATION BANKS ASSOCIATION OF TURKEY IN BRIEF The Participation Banks Association of banking regulations, principles and Turkey (TKBB), headquartered in İstanbul rules, to work for the healthy growth of THE FOUNDATIONS OF and established in accordance with the the banking system and development THE TKBB, THE UMBRELLA Banking Act, is a professional public of the banking profession, increase ORGANIZATION OF THE institution of legal personality. competitiveness, ensure that necessary PARTICIPATION BANKS decisions are taken, implemented and OPERATING IN TURKEY, The foundations of the TKBB, demand to be implemented for the the umbrella organization of the creation of a competitive environment.
    [Show full text]
  • Faruk Özbay-Proje
    GED İZ ÜN İVERS İTES İ YÜKSEK L İSANS B İTİRME PROJES İ KATILIM BANKACILI ĞI VE TÜRK İYE'DEK İ UYGULAMALARI Faruk ÖZBAY Proje Danı şmanı:Doç.Dr.Erhan DEM İREL İ İZM İR 2014 GED İZ ÜN İVERS İTES İ SOSYAL B İLİMLER ENST İTÜSÜ (YÜKSEK L İSANS B İTİRME PROJES İ) KATILIM BANKACILI ĞI VE TÜRK İYE'DEK İ UYGULAMALARI Faruk ÖZBAY Tez Danı şmanı:Doç.Dr.Erhan DEM İREL İ İZM İR,2014 PROJE DANI ŞMANI VE ENST İTÜ MÜDÜRLÜ ĞÜ ONAYI Proje Danı şmanı İmza Doç.Dr.Erhan DEM İREL İ Faruk ÖZBAY tarafından yüksek lisans projesi olarak hazırlanan " KATILIM BANKACILI ĞI VE TÜRK İYE'DEK İ UYGULAMALARI " ba şlıklı bu çalı şma Gediz Üniversitesi Lisansüstü E ğitim ve Ö ğretim Yönetmeli ği ile Gediz Üniversitesi Sosyal Bilimler Enstitüsü E ğitim ve Ö ğretim Yönergesi'nin ilgili hükümleri uyarınca tarafımız dan de ğerlendirilerek,bu çalı şma ba şarılı bulunmu ştur. i ÖZET KATILIM BANKACILI ĞI VE TÜRK İYE'DEK İ UYGULAMALARI ÖZBAY,Faruk Yüksek Lisans Projesi,Gediz Üniversitesi Sosyal Bilimler Enstitüsü OCAK,2014 Danışmanı: Doç.Dr.Erhan DEM İREL İ Bu projede bankacılık sektörünün tarihi geli şimi,kullanılan ürünler,faizsiz bankacılık ve faizsiz bankacılı ğın Türkiye'deki geli şimi incelenmi ştir. Kuran-ı Kerim'de faizin kesinlikle haram kılınmasından sonra,faizsiz bankacılık alanında geli ştirilen ürünlerin neler oldu ğunu anlatan bölümlerden olu şmaktadır.Bankacılık sektöründe katılım bankalarının payı anlatılı ştır. Son bölümlerde ise faizsiz bankacılı ğın önündeki problemlerden bahsedilmi ş ve çözüm önerileri incelenmi ştir.Sonuç olarak mevduat bankaları ile katılım bankacılı ğı fon aktarımı bakımından ortak özellik göstersede, i şlem şekillerinin farklı olması faaliyetlerine yansımaktadır.
    [Show full text]
  • The Evolution of Participation Banking in Turkey Liam Hardy Islamic
    Winter 2012 The Evolution of Participation Banking in Turkey Liam Hardy INTRODUCTION religiously Participation banking, a moniker for financial conservative Islamic finance in practices structured in accordance with Islamic segments of Turkey is a more law, has not traditionally made up a large Turkey became recent phenomenon. segment of Turkey’s finance sector due to the marginalized in Changes in country’s secular tradition since the start of the both modern Republic in 1923. However, participation policymaking government priorities banking has grown in recent years because of and business, and public more permissible public attitudes, decreased trust which were sensibilities have in the conventional banking sector after financial highly allowed participation crises in 2001 and 2008, and the desire to attract interconnected. banking to gradually capital from the Gulf region. As a result, the The country’s current government, led by the Justice and constitution and acquire legitimacy, Development Party (AKP), has sought to shape a government particularly within the regulatory framework for participation banking in were modeled past decade. line with the country’s changing sensibilities after France’s towards the role of religion in public life. This has “laicité” system, developed in conjunction with an expansion of which mandated a separation of religious and Islamic finance in the global economy more political affairs. The Caliphate and Sultanate were generally. disestablished, the veil was banned from public Given its secular identity, Turkey would at venues, religious convents and dervish lodges first appear incompatible for Islamic finance in its were closed, and the Directorate of Religious economy. The modern nation‐state of Turkey, Affairs was entrusted with writing the Friday founded after the breakup of the Ottoman sermons and monitoring religious activity.
    [Show full text]
  • The Call for Rerouting Turkish Banking Sector Outlook 2015
    The call for rerouting Turkish banking sector outlook 2015 February 2015 Contents Foreword..............................................................................................................................................1 Macroeconomic outlook.......................................................................................................................2 Turkish banking sector overview.......................................................................................................... 6 Turkish banking sector performance: Current and the future............................................................. 13 Competitive overview: Snapshot ....................................................................................................... 20 Tier-based performance..................................................................................21 The future of the Turkish banking industry ....................................................................................... 26 References..........................................................................................................................................31 2 Foreword Macroeconomic and regulatory environment, competitive landscape and customer dynamics are all reshaping the Turkish banking industry, creating a need for transformation. New regulatory changes are expected to have a negative impact on the profitability of the banks. Players in the Turkish banking industry will likely continue to be challenged to rake in profits in this difficult
    [Show full text]
  • The Participation Banking As a Distinctive Method and the Its Growing in the Turkish Finance Market- Period: 2007-2013
    The Participation Banking As A Distinctive Method And The Its Growing In The Turkish Finance Market- Period: 2007-2013 Ferhat Sayım Yalova University, Economics and Administrative Sciences Faculty, Yalova- Turkey | email: [email protected] Volume 5 No 1 (2015) | ISSN 2158-8708 (online) | DOI 10.5195/emaj.2015.73 | http://emaj.pitt.edu | Abstract Financial systems and companies has become the most important reason in the weakness of world economic system. The formation and development process of the financial structure also constitutes the infrastructure of the world economic system. The path of the financial system and development has led to discuss with the financial crisis in 2008-2011. One of the argument topic in order to reduce problems caused by the conventional banking system is alternative financing systems. In Turkey, the corporations based on profit share system which are named participation based banking attention, if the alternative banking systems are considered. These banks which settle on different principles in the risk distribution of the portfolio acquired are analyzed more nowadays. Participation based banks are placed in almost every regulation related to banking terms and get their legal infrastructure more stable in the banking legislation of Turkey. This study is a 2007-2013 part of research series. We try to find out the place and the importance of participation based banking with the various sub-headings especially in Turkey. We examine the comparative review 2007-2013 data of participation banks which Total Assets, Equity Net Profit, Collected Turkish Currency and Foreign Currency Funds and Bank Loan Funds, figures for the four participation banks in Turkey.
    [Show full text]
  • Participation Banking in European Context
    Journal of Economic and Social Studies Participation Banking in European Context Šukrija RAMIĆ Islamic Pedagogical Faculty, University in Zenica, Zenica, Bosnia and Herzegovina [email protected] ABSTRACT The purpose of this study is to find a common ground for participation KEYWORDS banking in Europe, by explaining a new way of banking practice Participation banking, Usury, which has its roots in the European business tradition of partnership, Sharia, Murabaha, Musharaka, investment, trading and providing services, as well as the status of Mudaraba, Salam, Istisna, Ijara usury in Christian, Jewish and other traditions. It deals with questions ARTICLE HISTORY related to the openness of European societies to this invention of Islamic Submitted: 21 October 2011 culture, the main characteristics of participation banking, its benefits, Resubmitted: 4 Spring 2012 the chances for building better relations with the Muslim world, and Resubmitted: 12 February 2012 the possibilities of participation banking in non-Muslim environments. Accepted: 25 March 2012 It is concluded that participation banking is an opportunity for rather than a threat to, Europe which will open new dimensions for the banking industry, diverse responsibility, bring people together, increase competition and bring better services with more competitive prices and, what is quite important is that it might activate the savings of European Muslims that are currently out of the banking system. JEL Code: G29 Volume 2 Number 1 Spring 2012 91 Šukrija RAMIĆ Introduction The biggest success of European society is reflected in the fact that it has largely managed to build a pluralistic society that accepts and respects differences among people. This achievement has opened the road to new success in the political and economic fields, so that today we have the European Union in front of which are great opportunities if it succeeds to maintain the direction towards pluralism and respect for diversity among its citizens.
    [Show full text]
  • Participation Banking Strategy Update Report
    2021-2025 Participation Banking Strategy Update Report 2021-2025 Participation Banking Strategy Update Report Table of Contents Executive Summary 6 Participation Banks Association of Turkey and Participation Banks 8 1. Overview of Interest-free Banking 9 1.1 Overall Situation of Global Interest-free Banking 10 1 1.2 Selected Markets in Global Interest-free Banking 14 1.3 Development of Participation Banking in Turkey 20 2. Vision and Strategic Objectives of Participation Banking in Turkey 25 2 2.1 Studies for Setting the Vision and Objectives 26 2.2 Vision, Mission and Strategic Objectives of Turkish Participation Banking 29 3. Important Areas for Vision and Strategic Objectives 33 3.1 Impacts of Covid-19 Pandemic on the Banking Sector 34 3 3.2 Digitalization Trend in Banking Sector 38 3.3 Istanbul International Finance Center (IFC) 40 4 4. Growth Forecasts of Turkish Participation Banking 42 5 5. Current Status of Strategic Objectives 45 6. Strategic Objectives for the Period from 2021 to 2025 61 Strengths-Weaknesses-Opportunities-Threats (SWOT) Analysis of Turkish 6 6.1 Participation Banking 63 6.2 Actions Necessary to Achieve the Strategic Objectives 64 7 7. Roadmap for Strategic Objectives 71 References 81 Lists of Tables and Graphs 83 List of Abbreviations 84 Participation Banking Strategy Update Report 2021-2025 EXECUTIVE SUMMARY1,2,3,4 (1/2) The fact that conventional banking system has started to be The participation banking’s objective of achieving a market questioned as a result of the global crises which were experienced share of 15% in 2025, which was set in the Turkish Participation in the last decade and that countries started to put the interest-free Banking Strategy Document (2015-2025), is still applicable in the banking model on their agenda, brought along developments in the Participation Banking Strategy Update Report (2021-2025).
    [Show full text]
  • The Role of Participation Banking As Alternative Financing Channels to Substitute for Deposit Banks and Its Growth in the Turkish Finance Market - Period: 2007-2015
    Volume 6 No 1 (2016) | ISSN 2158-8708 (online) | DOI 10.5195/emaj.2016.92 | http://emaj.pitt.edu The Role of Participation Banking as Alternative Financing Channels to Substitute for Deposit Banks and its Growth in the Turkish Finance Market - Period: 2007-2015 Ferhat Sayım Yalova University | [email protected] Volume 7 No 1 (2017) | ISSN 2158-8708 (online) | DOI 10.5195/emaj.2017.106 | http://emaj.pitt.edu | Abstract Financial systems and companies have become the most important reasons in the weakness of world economic system. The formation and development process of the financial structure also constitute the infrastructure of the world economic system. The path of the financial system and development has led to discuss with the financial crisis in 2008-2011. One of the solutions in order to reduce problems caused by the conventional banking system is alternative financing systems. In Turkey, the corporations based on profit share system are named participation banks. These banks which settle on different principles in the risk distribution of the portfolio acquired are analyzed more nowadays. Participation based banks are placed in practically every regulation related to banking terms and get their legal infrastructure more steady in the banking legislation of Turkey. This study is a continuation of a series related to the situation of participation banking in Turkey. On the other hand, the literature and the history of participation banking have been given less attention in this study. Literature information on methods in participation banks has been described in previous work of the series. Two analyzes were conducted in this study.
    [Show full text]
  • The Evolution of Islamic Credit Cards in Turkeyr
    ARTICLE IN PRESS JID: YJCEC [m3Gsc;August 26, 2015;20:50] Journal of Comparative Economics 000 (2015) 1–21 Contents lists available at ScienceDirect Journal of Comparative Economics journal homepage: www.elsevier.com/locate/jce Between consumer demand and Islamic law: The evolution of Islamic credit cards in TurkeyR Murat Çokgezen a, Timur Kuran b,∗ a Marmara University, Turkey b Duke University, USA article info abstract Article history: Çokgezen, Murat, and Kuran, Timur—Between consumer demand and Islamic law: The evo- Received 19 January 2015 lution of Islamic credit cards in Turkey Revised 22 April 2015 Available online xxx The elimination of interest from financial transactions has been a salient goal of Islamization movements around the world. Its proponents have had to balance this objective, which they JEL classification: claim to draw from Islamic law (Sharia), against consumer demand for convenient products. In G23 general they have opted to accommodate consumer demand, but surreptitiously, using legal O53 ruses to disguise their compromises. Turkey’s experience with credit cards offers a revealing P46 case of the obfuscation in question. Having denounced credit cards as un-Islamic, Turkey’s K29 Islamic banks have all proceeded to issue credit cards of their own in order to remain compet- Keywords: itive with their openly interest-friendly, conventional rivals. With local variations, the Turkish Banking pattern resembles that of other markets where Islamic credit cards have made inroads. In Credit card Malaysia and the United Arab Emirates, too, Islamic credit cards function like those of the Islam conventional banks with which they compete for customers.
    [Show full text]