4. Content Approach to Analytics of Islamic Banks by Meso-economics of Inter-causality

Islamic Bank Bangladesh Limited (2017).

Qur’an (36:36). Exalted is He who created all pairs—from what the earth grows and from themselves and from that which they do not know.

Qur’an (14:24): “Seest thou not how Allah sets forth a parable?—A goodly word like a goodly tree, whose root is firmly fixed, and its branches (reach) to the heavens,- of its Lord. So Allah sets forth parables for men, in order that they may receive admonition.”

Qur’an (14:26). “And the parable of an evil Word is that of an evil tree: It is torn up by the root from the surface of the earth: it has no stability.”

Qur’an (2:275). Those who consume interest cannot stand [on the Day of Resurrection] except as one stands who is being beaten by Satan into insanity. That is because they say, “Trade is [just] like interest.” But Allah has permitted trade and has forbidden interest. So whoever has received an admonition from his Lord and desists may have what is past, and his affair rests with Allah. But whoever returns to [dealing in interest or usury]—those are the companions of the Fire; they will abide eternally therein.

Choudhury (2006).

Newsom, Jones, and Hofer (2011).

My students apply VAR and VECM methods, Structural Equations Model (SEM), SDA and Likert analysis.

Then We put you, [O Muhammad], on an ordained way concerning the matter [of religion]; so follow it and do not follow the inclinations of those who do not know.

Ali (1946).

Taqi-ud-Din Al-Hilali and Muhsin Khan (1998).

Gaffard (2009).

Border (1989).

Stiglitz (2018).

The President of IDB announced his focus on paradigm shift to be the attainment of SDG by member countries. This goal is presently an impossible task for Muslim countries unless the internal political, economic, and the ethics of peace and collective self-reliance are not first established. The IDB and Organization of Islamic Conferences (OIC) have proved dysfunctional in adducing the SDG goals in their membership. On the theme of political economy of peace and consilience see Choudhury and Taifur (forthcoming).

Romer (1986).

Holland (1982).

Choudhury, Hossain, and Mohammad (2019).

The formulation of the intertemporal overlapping generation model for rate-determination can now be written as,

Here, A’s denote time-dependent (t) asset values accumulated by ‘r’, rate of return, and ‘g’ real rate of growth of material values. ‘I_t’ denotes time-specific investments. ‘d_t’ denotes time-specific depreciations. All variables are ‘θ’-induced.

The above formulation is a microeconomic approach to asset valuation. It can be computerised at IRTI if IDB were to open up its thoughts and application to the authentic Islamic analytical direction.

It is plausible assumption in the above formulation that during the finite life span an asset will experience its evolutionary convergence with the growth of knowledge embedded in the moral and material worth. The wellbeing generated by this embedding is immensely great in infinite time as the Qur’an (2:26) declares: “The parable of those who spend their substance in the way of Allah is that of a grain of corn: it grows seven ears and each ear Has a hundred grains. Allah gives manifold increase to whom He pleases: and Allah cares for all and He knows all things.” By approximation only, we can solve yet under the case of evolutionary convergence for the polynomial roots of above equation near the point of vanishing of net accumulative terminal value. Such nearness between events in knowledge, space, and time dimensions is referred to as the ‘nearest point of valuation’ event by quantitative evaluation (estimation and simulation). The values of ‘r’ as the rate of return, and ‘g’ as real growth of material returns, and thereby (r + g), are solved in the above-mentioned polynomial.

Choudhury and Hoque (2004).

Ashur (2013).

Shari’ah and maqasid as-shari’ah as the purpose and objective of shari’ah arose as vastly written edicts by various Muslim scholars starting from Al-Juwainy, Imam Ghazali, Ibn Taimiyyah, Imam Shafei and others. This edicts did not wholly agree between them.

Inglott (1990).

Choudhury (2019).

The Tawhidi approach of unity of knowledge by inter-causality of complementary entities and the shari’ah utilitarian approach are contrary to each other (e.g. STI): Tawhid as Law of Unity establishes complementarities like,[STI ⊗ Stakeholding ⊗ Social Inclusiveness ⇒ moral ⊗ material embedding][θ]. According to shari’ah approach competing dissociations prevail, [STI ⊕ Stakeholding ⊕ Social Inclusiveness ⇒ moral ⊕ material embedding] ⇒ no complementarities as the Tawhidi law. Only competition and trade-off prevails. SDG is thus fully dispensed with in the shari’ah approach as adopted by IDB-IRTI.