The role of Islamic banks in financing the budget deficit: international experiences with the possibility of benefiting from them in Iraq

To The Council of the College of Administration and Economics، University of Karbala، Which Is Part of the
Requirements for obtaining a master’s degree in economic sciences

Submitted By
Abbas Razzaq Kazem Silawi

Supervised By
a.M.Dr. Shaymaa Rasheed Mohaisen

Abstract
The research dealt with the role of Islamic banks in financing the budget deficit ,international experiences with the possibility of benefiting from them in Iraq. From its official sources related to the subject of the research, as the outputs of the analysis were employed to answer the main question of the research problem, in order to prove the perception presented by the research hypothesis, as it was discussed in the research conclusions, and its implications were used to supplement the research recommendations.
He also clarified the theoretical and conceptual framework of Islamic banks and their financing mechanisms, the public budget deficit, and the financing relationship between the public budget deficit and Islamic banks, and focused on the role of Islamic sukuk and its role in the financing process, and how Islamic banks in Iraq can supplement the public budget deficit by adopting methods appropriate to the environment. In the country, following the example of the experiences of the research sample countries, with an indication of the challenges, requirements and mechanisms of the countries’ experiences and how to employ these mechanisms to finance the public budget deficit in Iraq.
The experience of Islamic banks in Sudan and Malaysia was also studied by examining their origin, development, and how they finance the public budget deficit, in addition to studying the modern experience of Iraq in Islamic banks, as well as the statement of the general budget and its deficit for all countries of the research sample (Sudan, Malaysia, and Iraq).
He also showed the possibility of Iraq benefiting from the experiences of the research sample countries regarding their experience in Islamic banking and the process of financing their public budget deficit.
The research concluded with a set of conclusions and recommendations that were drawn from the theoretical and quantitative aspects of the research, the most important of which may help in the process of financing the budget deficit and supplying the financial market with modern banking entities with a different approach and a radical opposite to traditional banks in terms of returns for owners, shareholders and borrowers, and thus strengthening the country’s economy in general.