An Islamic Perspective on Governance (New Horizons in Money and Finance series)

Zafar Iqbal and Mervyn K. Lewis fill the gap in Western literature on governance issues from the perspective of Islamic economics. Islamic and Western viewpoints are compared, and a systematic analysis of key areas in governance from an Islamic standpoint is provided. The volume draws on classical Islam and contemporary sources to provide a comprehensive Islamic governance framework to contrast with the Western position. `The authors have undertaken innovative research to examine the Islamic and contemporary western concepts, institutions, processes and traditions about public, corporate, financial and fiscal. This study breathes fresh air into the debate on some of the critical issues of positive economics by exploring new linkages of governance with normative goals, ethical frameworks and egalitarian policy initiatives.' - Khurshid Ahmad, Member Senate of Pakistan `This book is a major contribution to governance under an Islamic System; thoroughly researched, very clearly written and organised, it is an extremely significant contribution particularly in the context of current turmoil in financial markets and the possible means of assisting financial and economic stabilisation from an Islamic perspective.' - John Presley, Loughborough University, UK and Recipient of the 2002 Islamic Development Bank prize in Islamic Finance Zafar Iqbal and Mervyn K. Lewis examine, from an Islamic perspective, some central issues in public, economic and corporate governance. Amongst topics analysed are theories of justice, taxation, budget deficits, Islamic financing modes, public and private accountability, and corruption. The authors' starting point is that the Islamic perspective on governance and its differences from Western approaches requires an understanding of the basic tenets, philosophy and legal traditions of Islam. They develop the Islamic position on matters widely acknowledged as being under-researched in Islamic social enquiry, bringing a fresh and contemporary slant to governance issues by drawing insights from modern theory and practice, and combining them with classical and modern Muslim interpretations. Their analysis explicitly acknowledges self-interested behaviour, adding a public choice dimension to the limitations and workability of any governance arrangements. This unique and highly innovative book will have strong appeal for those with an interest in Islamic economics, public policy, banking, and Asian and Middle Eastern studies. It was a pleasure to read An Islamic Perspective on Governance by Zafar Iqbal and Mervyn K. Lewis. The authors have undertaken innovative research to examine the Islamic and contemporary western concepts, institutions, processes and traditions about governance: public, corporate, financial and fiscal. This study breaths some fresh air into the debate on some of the critical issues of positive economics by exploring new linkages of governance with normative goals, ethical frameworks and egalitarian policy initiatives. I hope this path-breaking study may open up new avenues of growth in the fiscal economics of tomorrow. In my view, the uniqueness of An Islamic Perspective on Governance lies in building on the contributions of the positive approach, impregnating it with a new vision of human destiny characterized by moral excellence and centrality of justice in all areas of human effort and governance. Morality, in this new paradigm is not confined only to human motivation and personal virtue; it influences the entire fabric of human life and refashions all dimensions of Governance: goals, laws, institutions, processes, policies, rules and regulations and checks and balances. The authors have made a seminal effort to reintroduce, in a highly integrated manner, moral commitment, social responsibility, and justice to the conventional agenda of political economy. That makes efficiency and equity inseparable twins, co-existing in harmony and not strange bed-fellows. An Islamic Approach to Governance presents, in a snapshot, some of the key areas of Islamic economics. It also contains a thoughtful critique of the present state of the discipline and identifies some of the challenges that beset it. It also provides some food for thought for Islamic economists and policy makers, to not only further refine their tools and products, but also to make substantive efforts to do justice to the new paradigm Islamic economics claims to represent Zafar Iqbal And Mervyn K. Lewis Examine, From An Islamic Perspective, Some Central Issues In Public, Economic And Corporate Governance. Among Topics Analysed Are Theories Of Justice, Taxation, Budget Deficits, Islamic Financing Modes, Public And Private Accountability, And Corruption. The Authors' Starting Point Is That The Islamic Perspective On Governance And Its Differences From Western Approaches Requires An Understanding Of The Basic Tenets, Philosophy And Legal Traditions Of Islam. They Develop The Islamic Position On Matters Widely Acknowledged As Being Under-researched In Islamic Social Enquiry, Bringing A Fresh And Contemporary Slant To Governance Issues By Drawing Insights From Modern Theory And Practice, And Combining Them With Classical And Modern Muslim Interpretations. Their Analysis Explicitly Acknowledges Self-interested Behaviour, Adding A Public Choice Dimension To The Limitations And Workability Of Any Governance Arrangements. This Unique And Highly Innovative Book Will Have Strong Appeal For Those With An Interest In Islamic Economics, Public Policy, Banking, And Asian And Middle Eastern Studies.--jacket. 1. Perspectives On Governance --- 2. The Methodology Of Islamic Economics --- 3. Justice: The Inner Core Of Governance --- 4. An Islamic Perspective On Taxation --- 5. Problems Of Implementing Taxation In Islamic Countries --- 6. Islamic Position On Budget Deficits --- 7. Financing Methods For Government Bodies --- 8. Accountability And Governance --- 9. Governance And Corruption --- 10. Conclusion. Zafar Iqbal, Mervn K. Lewis. Includes Bibliographical References (p. 326-358) And Index. "Zafar Iqbal and Mervyn K. Lewis examine, from an Islamic perspective, some central issues in public, economic and corporate governance. Among topics analysed are theories of justice, taxation, budget deficits, Islamic financing modes, public and private accountability, and corruption." "The authors' starting point is that the Islamic perspective on governance and its differences from Western approaches requires an understanding of the basic tenets, philosophy and legal traditions of Islam. They develop the Islamic position on matters widely acknowledged as being under-researched in Islamic social enquiry, bringing a fresh and contemporary slant to governance issues by drawing insights from modern theory and practice, and combining them with classical and modern Muslim interpretations. Their analysis explicitly acknowledges self-interested behaviour, adding a public choice dimension to the limitations and workability of any governance arrangements." "This unique and highly innovative book will have strong appeal for those with an interest in Islamic economics, public policy, banking, and Asian and Middle Eastern studies."--BOOK JACKET Contents......Page 6 Figures and boxes......Page 7 Tables......Page 8 Abbreviations......Page 9 Glossary......Page 10 Preface......Page 16 1. Perspectives on governance......Page 18 2. The methodology of Islamic economics......Page 37 3. Justice: the inner core of governance......Page 76 4. An Islamic perspective on taxation......Page 108 5. Problems of implementing taxationin Islamic countries......Page 152 6. Islamic position on budget deficits......Page 185 7. Financing methods for government bodies......Page 231 8. Accountability and governance......Page 270 9. Governance and corruption......Page 302 Conclusion......Page 330 References......Page 343 Index......Page 376