Does Islamic Banking Lead to More Efficiency?

In this book the author has addressed and analysed the key factors affecting efficiency including profitability cost stability risk and growth of Islamic Banking. The study also analysed the major challenges facing the Islamic Banking sector including legal regulatory competition product complaint and marketing oriented issues. The study illustrates that even though Islamic Banking is facing some serious internal and external challenges but it is still performing efficiently and can survive and compete with conventional counterpart banks. The study has identified some of the key challenges and maintained that overall Islamic banking industry is suffering. For example the unavailability of (trained and expert staff inter-bank money market correspondence banks for foreign remittances international accounting standards international operational standards and international sharia auditing) as well as liquidity fund management problem lack of marketing and customer awareness lack of products standardization nonexistence of empathy of opinion between different school of thoughts non-unified Sharia complaint and finally double taxation.