Role of Islamic finance for the development: A Case Study of the Kyrgyz Republic and Tajikistan (Occasional Papers)

The book pinpoints the failure of conventional finance in providing inclusive growth to the world economies and explores the potential of Islamic Finance to generate equitable and sustainable economic development in the low income countries. This potential role of Islamic finance is discussed in the context of case studies of Kyrgyz Republic and Tajikistan. The study notes the achievements as well as identifies some key constraints faced by these countries in their aspiration for socio-economic development. Since these constraints are a combination of financial, governance and political factors that are interlinked. Therefore, a broader approach is followed here highlighting the issues and indicating how Islamic finance can address them to alleviate some of the identified constraints. It also discusses examples of some specific sectors where Islamic finance can make a difference.