Abstract
The development of Islamic finance has attracted a lot of attention by researchers all over the world. During the recent global financial crisis, it demonstrated a degree of resilience and proved to be an alternative to conventional banking industry. It attracts Muslims and non-Muslims alike. This paper represents the analysis of Islamic finance development in Balkan with a case study of Bosnia and Herzegovina (B&H). In this analysis we will use the data from the local Islamic financial institutions and global reports with regard to the Islamic finance industry. Since Islamic finance has been practiced in B&H for years, its development has seen a remarkable success. Islamic banking, led by Bosnia Bank International (BBI), is the major player in the field. However, the industry faces a number of issues and challenges that impede its further development. Among major issues are a lack of legal and regulatory framework(s), a low level of public awareness about Islamic finance that leads to a low demand for its products, and a lack of government support for its development. Thus, in order for Islamic finance to develop further within the Balkan countries there is a need for a better promotion, legal and regulatory framework.
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Article Details
- Year: 2020
- Volume: 41
- Issue: 1
- Pages: 121 - 144
- Accepted: 31.03.2020
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DOI:
https://doi.org/10.5281/zenodo.17119644 -
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How to Cite?
Edib Smolo, Mirzet Šeho, M. Kabir Hassan (2020). Development of Islamic Finance in Bosnia and Herzegovina. Journal of Economic Cooperation and Development, 41(1), 121-144. https://doi.org/10.5281/zenodo.17119644
