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European challenges for Islamic Banking

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Author Info
Sorina Aioanei () (Academy of Economic Studies, Bucharest, Romania)
Abstract

The paper briefly review the growth in Islamic Finance, implications of the Islamic banking in Europe and challenges to be met, in terms of compatibility with local banking markets, product development and strict anti-money laundering rules. The paper analyses also the hawala remittance system and the negative association with the Islamic banks. This type of funds transfer is often related with illegal remittances, money laundering and financial crime. As acting as European banks, newly established in Europe Islamic banks, as new comers, will have to face the critics about their possible link with terrorism support and money laundering.

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File URL: http://www.rejournal.eu/25BIS_continut_jurnalul_economic_noiembrie_2007.pdf
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Publisher Info
Article provided by Department of International Business and Economics from the Academy of Economic Studies Bucharest in its journal Romanian Economic Journal.

Volume (Year): 10 (2007)
Issue (Month): 25BIS (November)
Pages: 7-20
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Handle: RePEc:rej:journl:v:10:y:2007:i:25bis:p:7-20

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Related research
Keywords: hawala; interest- free; money laundering;

Find related papers by JEL classification:
G15 - Financial Economics - - General Financial Markets - - - International Financial Markets

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