Problems facing Islamic Banking in Bangladesh

Problems facing Islamic Banking in Bangladesh

1.Lack of central Shariah Manual or Guidelines supervised by Bangladesh Bank.
2. Lack of Full-fledged Shariah Audit conducted by Bangladesh Bank.
3. Fraud-Forgery or corruption in Islamic Banks.
4. Lack of Islamic Investment Risk Analysis and measurement Methodology.
5. Minimum Budget for Research and Development.
6. Lack of Working Environment. Establishment of Links with other Training Institutes and Shariah Supervisory Bodies.
7. Lack of Co-operation between Islamic Banks and Islamic NGOs
8. Depression of Profit.
10. Lack of Capital Market and Interest-free Financial Instruments
11. Insufficient Legal protection
12. Lack of proper Controlling and Supervision by the Central bank on the Basis of Islamic Shariah
13. Lack of Unified Shariah Rulings
14.Absence of Islamic Inter-Bank Money Market
15. Lack of New Banking Regulations
16. Lack of Accounting principles and Procedures
17. Shortage of Supportive and Link Institutions
18. Shortage of Skilled and Trained Manpower in Islamic Shariah banking
19. Lack of Co-operation among the Islamic Banks
20. Lack of Familiarity by International Financial and Non-financial Sector with Islamic Products and
procedures.
21. Severe Competition in the Financial Sector
22. Economics slowdown and Political Situation of the Country
23. Inadequate Track Record of Islamic Banking
24. Absence of Infrastructure for International Islamic Trade Financing
25. Defaulting Culture of the Borrowers
26. Short-term Asset Concentration in the Islamic Banks
27. Lack of Course or paper on Islamic Economics, Banking and Finance at the Educational
Institutions.
28. Lack of Uniform Operational procedure of Islamic Banking
29. Lack of Specialized Islamic Banks and Non-Bank financial Institutions
30. Lack of Consortium or Syndication of the Islamic Banks
31. Lack of Harmonization of Islamic financial Practices
32. Lack of Inter-country Study on the practical Operations of Islamic Banking
33. Lack of Secondary Securitization Market
34. Lack of Coordinated Research Work on Islamic Economics, Banking and finance