The Multiple Economic Shocks and their Impact on the Financial Performance of Islamic Banks: Experiences of Selected Countries, with Special Reference to Iraq

A Dissertation

Submitted to the Council of the Collage of Administration and Economics, University of Kerbala in Partial Fulfillment of the Requirements for the Degree of Doctor in Economics Sciences

Set by

Ban Abbas Mahdi AL-Seady

Supervised by

Assistant professor DR                             and                              professor Dr

Sarmad Abdul- Jabbar Haddam Khairallal      Talib Hussein Faris Al-Kuraiti

Abstract

The research dealt with the phenomenon of economic shocks and their impact on the financial performance of Islamic banks, and the focus was on the experiences of some Islamic countries, and the opportunities to benefit from them in Iraq, based on a conceptual basis from the available literature, and using the method of comparative descriptive analysis and statistical analysis based on the data of annual economic reports, statistical releases and banks. Central as well as financial stability reports, and the analysis was employed to answer the main question of the research problem and prove the perception presented by the research hypothesis, as it was proven in the research conclusions and the use of its implications for the research recommendations, and also showed how Islamic banks in Iraq can meet the multiple economic shocks and what are the basic challenges and requirements, what are the necessary opportunities and what are the available opportunities to achieve this in light of the experiences of how to face shocks and their ability to repel economic, financial, banking and other shocks in Arab and Islamic banks and the possibility of benefiting from them? and the specific challenges, requirements and opportunities to build a successful experience in Iraq. The general conclusion of the research shows the importance of confronting shocks and their ability to cope in Iraqi Islamic banks, because Islamic banks aim to improve Arab and Islamic banking work based on their moral mission and social and economic responsibilities, and serve the formation of strong and appropriate banking entities. To the requirements of economic globalization, because banking is one of the important global banking variables today, with the acceleration of financial liberalization, it is logical that the Islamic banking financial sector finds itself in a state of challenge that requires improving the performance of this sector and developing its efficiency to face all forms of challenges that have become a reality. There is an area for underestimating or ignoring its importance, and the way to do so is to enhance the financial stability of this sector, and its performance must be reviewed regularly and continuously so that we can develop policies that maintain financial stability that achieve the economic and social goals of this sector, and this research focuses on discussing and analyzing the reasons The multiple economic, financial and economic shocks and the global financial crisis of 2008 and its impact on the global economy, and how Islamic banks were able to overcome the negative effects resulting from them.

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The Multiple Economic Shocks and their Impact on the Financial Performance of Islamic Banks: Experiences of Selected Countries, with Special Reference to Iraq

A Dissertation

Submitted to the Council of the Collage of Administration and Economics, University of Kerbala in Partial Fulfillment of the Requirements for the Degree of Doctor in Economics Sciences

Set by

Ban Abbas Mahdi AL-Seady

Supervised by

Assistant professor DR                             and                              professor Dr

Sarmad Abdul- Jabbar Haddam Khairallal      Talib Hussein Faris Al-Kuraiti

Abstract

The research dealt with the phenomenon of economic shocks and their impact on the financial performance of Islamic banks, and the focus was on the experiences of some Islamic countries, and the opportunities to benefit from them in Iraq, based on a conceptual basis from the available literature, and using the method of comparative descriptive analysis and statistical analysis based on the data of annual economic reports, statistical releases and banks. Central as well as financial stability reports, and the analysis was employed to answer the main question of the research problem and prove the perception presented by the research hypothesis, as it was proven in the research conclusions and the use of its implications for the research recommendations, and also showed how Islamic banks in Iraq can meet the multiple economic shocks and what are the basic challenges and requirements, what are the necessary opportunities and what are the available opportunities to achieve this in light of the experiences of how to face shocks and their ability to repel economic, financial, banking and other shocks in Arab and Islamic banks and the possibility of benefiting from them? and the specific challenges, requirements and opportunities to build a successful experience in Iraq. The general conclusion of the research shows the importance of confronting shocks and their ability to cope in Iraqi Islamic banks, because Islamic banks aim to improve Arab and Islamic banking work based on their moral mission and social and economic responsibilities, and serve the formation of strong and appropriate banking entities. To the requirements of economic globalization, because banking is one of the important global banking variables today, with the acceleration of financial liberalization, it is logical that the Islamic banking financial sector finds itself in a state of challenge that requires improving the performance of this sector and developing its efficiency to face all forms of challenges that have become a reality. There is an area for underestimating or ignoring its importance, and the way to do so is to enhance the financial stability of this sector, and its performance must be reviewed regularly and continuously so that we can develop policies that maintain financial stability that achieve the economic and social goals of this sector, and this research focuses on discussing and analyzing the reasons The multiple economic, financial and economic shocks and the global financial crisis of 2008 and its impact on the global economy, and how Islamic banks were able to overcome the negative effects resulting from them.

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