Accommodating Islamic Banking and Finance in Australia

Abstract:     
Islamic banking and finance is still at the embryonic stage in Australia. There have been uncertainties as to how and to what extent the systems of governance at State and Federal levels should adapt in light of the difficulties faced by both local Islamic finance service providers and potential Islamic investors from overseas looking to invest their petrodollars in Australia. This paper takes a contextual and critical look at the current regulatory framework with special focus on taxation and prudential standards, and explores the need and possibilities for reform.

Number of Pages in PDF File: 31

Keywords: Islamic banking, finance, regulatory framework, taxation, prudential standards ‘level playing field’

JEL Classification: K10, K22, K30, K34

Accepted Paper Series