The Outlook of Islamic Banking Model: Global & India Perspective

Abstract

Islamic Banking Model is in the stage of evolving reality by continuously testing and refining. This paper examines the efficiency, growth, changes, challenge & outlook of Islamic banking Model by the different countries. However, Indian banks differ in their application. These differences are due to several reasons including the laws of the country, objectives of the RBI, individual bank’s circumstances and experiences, the need to interact with other interest-based banks, etc. There is no doubt that Islamic banking Model has a huge potential across world but for India it still need some strong policy decision to make it a reality.

Keywords: Islamic banking; financial system; banking regulation; conventional accounting; Shariah.