ETIKA ISLAM DALAM MANAJEMEN KEUANGAN

Abstract

This article tries to enlighten the Islamic ethical system in finance management. In principle, Islamic finance management has to grip the profits-and- loses sharing as a substitute of interest used by Islamic finance institutions. Now days many “Islamic” bankings are attempting to go behind the system. We study financial instruments used by Islamic finance institutions and find that most are not based on profit-and-loss sharing (equity) but, instead, are very debtlike in nature. We try to understand any departures from traditional Islamic principles in the types of transactions offered. We suggest an economic rationale for the constraints imposed on Islamic finance institutions and try to determine if these constraints are likely to be social welfare improving. We also examine the types of projects in which Islamic institutions invest. In this process we hope to shed some light on the efficiency of Islamic finance management and Islamic economies.