Islamic Finance: Retrospective View And Perspectives Over The World

Abstract

Despite the difficult economic conditions caused by covid 19 and the volatility of oil prices and volumes, the total worth of the global Islamic financial industry increased to an estimated USD 2.70 trillion in 2020 (from USD 2.44 trillion in 2019). The global Islamic financial industry sustained its growth momentum in 2020, recording a growth rate of 10.7% year-on-year based on significant improvement, especially in the Islamic banking and Islamic capital markets segment. This paper provides recent updates on the trends and developments, as well as insights on the soundness and resilience of various sectors, in the global Islamic financial industry. Therefore, we gave the example of countries that have integrated Islamic finance into their banking system while demonstrating the good results of this mode of finance. We also discussed the global development of the sukuk market and its evolution. Finally, we have tried to present the conditions and prospects for the development of this rapidly growing industry in the international financial market.