Sepanjang bekerja dengan bank, I’ve never actually write any piece on the banking industry although I’ve done tonnes of write-ups on banking. Alright, since I’m leaving the Bank tomorrow officially as a corporate civilian (whoa?), I am gonna share something with y’all.
I have to say i’m proud to be (and will be an ex of-) one of an Islamic financial institution. Nowadays, Islamic banking has emerge as one of the alternative financial system and is setting a commendable position in comparison to its conventional counterpart. With the recent global economic turmoil and the sudden financial crash led by the sub prime phenomenon, it is expected that the conventional financial system is heading to a downturn and as an alternative, Islamic banking which prohibits the element of gharar and maisir (uncertainties and speculations) is growing strong fundamentally.
Thanks to the public talk conducted every Tuesday and Thursday – a session initiated by Tuan Haji, we are being updated with current markets news. Thanks to the session as well, I am aware of the sub prime crisis (hehe..kalau nak harap baca newspaper The Edge yg circulated tu mmg saya tak baca la) and what’s happening in the market (at least the basic idea). Due to the lack of creditworthiness analysis and without adequate collateral (securities) for the borrowing, sub prime crisis is crippling the conventional financial system – especially in America where the renowned Lehrmann Brothers, a historical (more than 100 years) investment company has gone caput and in Iceland, the whole financial system has collapsed !!!
According to Tuan Haji’s prediction, the upcoming recession (next year most likely) will hit the world severely in comparison to the 1997’s crisis which merely was affected by the currency instability. With the current currency fluctuation and the increasing price of oil, it is likely that it will cause a domino effect and thus affecting world severely. As at today, Singapore is experiencing exhausting financial status as they have been experimenting with element of speculations – derivatives (forex products) – and luckily Malaysia is not affected as we are a little bit slower in adapting the complex financial elements! According to Tuan Haji – “Kita tak kena sebab kita bodo. Sebab kita tak kiasu” ! Hahaa… Alhamdulillah !
Islamic banking definitely forecasts a bright future as the budding system is set to boom. The new products like Musyarakah Mutanaqisah (diminishing Musyarakah) is set to replace the obsolete Bai-Bithaman Ajil (Buy-and-sell with asset underlying) and Ijarah (Leasing) and Bank Negara has already target that by the year 2010, banks in Malaysia are to undo all facilities that are financed under Bai Bithaman Ajil. Nonetheless, it should be noted that the practice of Islamic banking wth the theoretical disciplines ARE NOT necessarily jived as there are many issues pertaining the dilemma. Yet, shariah compliance is a must in every operation counducted.
Sebenarnya, banyak lagi benda yang nak ditulis tapi takut pulak orang yg membaca pening dengan bahasa yang agak formal ni. Apa-apapun, saya tak menyesal dengan pengalaman sebg banker especially menjadi an Islamic banker!~ Allahuakbar! =)