The Participation Banking As A Distinctive Method And The Its Growing In The Turkish Finance Market-Period: 2007-2013

Authors

  • Ferhat Sayım Yalova University

DOI:

https://doi.org/10.5195/emaj.2015.73

Keywords:

Bank, Finance Market, Finance Sector, Participation Bank, Islamic Bank, Interest Free Banking, Alternative Banking System

Abstract

Financial systems and companies has become the most important reason in the weakness of world economic system. The formation and development process of the financial structure also constitutes the infrastructure of the world economic system. The path of the financial system and development has led to discuss with the financial crisis in 2008-2011. One of the argument topic in order to reduce problems caused by the conventional banking system is alternative financing systems. In Turkey, the corporations based on profit share system which are named participation based banking attention, if the alternative banking systems are considered. These banks which settle on different principles in the risk distribution of the portfolio acquired are analyzed more nowadays. Participation based banks are placed in almost every regulation related to banking terms and get their legal infrastructure more stable in the banking legislation of Turkey.
This study is a 2007-2013 part of research series. We try to find out the place and the importance of participation based banking with the various sub-headings especially in Turkey. We examine the comparative review 2007-2013 data of participation banks which Total Assets, Equity Net Profit, Collected Turkish Currency and Foreign Currency Funds and Bank Loan Funds, figures for the four participation banks in Turkey. We are comparing the total figures with deposit banks for the same period.
One of our primary aim in this essay, to study in the framework of the alternatives of the financial companies and options. These options could be stated as a vibrant and viable well established choice as a non-western model- different from the classical western interest based leading banking system in the globe. Moreover, that participation banking systems’ grow and increase with its resourceful bulk of transactions and shares within the financial market. In addition, we intended to delineate the basic functioning structures, rules, norms, principles, procedures, operations of that alternate banking system in the financial market.

References

Addave,S. (2012), “What are the impacts of the global financial crisis on Islamic banking system and how Islamic bank spared from the crisis?”, http://epub.lib.aalto.fi/en/ethesis/pdf/12737/hse_ethesis_12737.pdf

Ahmad, A., Humayoun, A. A., & Hassan, U. u. (2010). An Analysis of Functions Performed by Islamic Bank: A Case of Pakistan. European Journal of Social Sciences , 17 (1), 7-12.

Akın, C. (1986). Faizsiz Bankacılık ve Kalkınma. İstanbul: Kayıhan Yayınları.

Albaraka Türk – About Us. (2010). Retrieved 12 23, 2010, from Albaraka Türk: http://www.albaraka.com.tr/bizi_taniyin/detay.aspx?SectionID=AvW7CcOUELQlQzfWvBQMfQ%3d%3d&ContentID=SjpzafdvjZK8baQMqwSZQQ%3d%3d

Al-Baraka Banking Group(2015); “Principles of Islamic Banking” http://www.albaraka.com/default.asp?action=article&id=46

Al-Baraka Banking Group(2015); “About Islamic Banking” http://www.albaraka.com/default.asp?action=article&id=28

Aminuddin, I.(2010), “Application of Funds”, http://www.islamicbankingway.com/2010/11/22-application-of-funds.html

BAT, The Bank Association of Turkey. (2008). Bankalarımız 2007. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2009). Bankalarımız 2008. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2010). Bankalarımız 2009. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2011). Bankalarımız 2010. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2012). Bankalarımız 2011. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2013). Bankalarımız 2012. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2014). Bankalarımız 2013. İstanbul: Türkiye Bankalar Birliği.

BAT, The Bank Association of Turkey. (2014). 2013 4.Quarter Information. İstanbul: Türkiye Bnk. Birl.

Battal, A. (2007). Bankacılık Kanunu Şerhi (2 ed.). Ankara: Seçkin Yayıncılık.

Bilgin Tevfik(2011), The Head of the BRSA, Conferences on The Union of Participation Banks, İstanbul, 18.05.2011.

Burton, M., Nasiba, R., & Brown, B. (2009). An Introduction to Financial Markets and Institutions (Second ed.). USA: M.E.Sharpe.

Canbaş, S., & Doğukanlı, H. (2007). Finansal Pazarlar-Finansal Kurumlar ve Sermaye Pazarı Analizleri (4 ed.). Adana, Turkey: Karahan Kitabevi.

Central Bank of Republic of Turkey, C. B. (2005). Türkiye Cumhuriyet Merkez Bankası, “Finansal İstikrar Raporu 2005”, Ankara; http://www.tcmb.gov.tr/yeni/evds/yayin/finist/bolumII.pdf, 28.06.2010. Retrieved 6 28, 2010, from Central Bank of Republic of Turkey: http://www.tcmb.gov.tr/yeni/evds/yayin/finist/bolumII.pdf

Chong, B. S., & Liu, M. H. (2009). Islamic banking: Interest-free or interest-based? Pacific-Basin Finance Journal , 17, 125–144.

Jammeh.B.E.; (2010), “ Prospects and Challenges of Islamic Banking and Finance In United States”, HTW University Paper, Berlin-Germany.

Küçükkocaoğlu, G. (2010, 6 28). İslami Bankalar ve İslami Finans Kurumları. Retrieved from http://www.baskent.edu.tr/~gurayk/finpazcuma17.doc

Islamibank Limited, (2015), “Operational Techniques of Islamic Bank”, http://www.islamibankbd.com/abtIBBL/cis_operational_techniques_of_islamic_bank.php

Majid,M.A.(2008), “Islamic and Conventional Bank Performance: A Review of Literature”, Working Paper in Islamic Economics and Finance No. 0819; Universiti Kebangsaan Malaysia, https://www.academia.edu/4410417/Islamic_and_Conventional_Bank_Performance_A_Review_of_Literature

Malik, A., & Malik, M. S. (2011). An Analysis of Islamic Banking and Finance in West From Lagging to Leading. Asian Social Science , 7 (1), 179-186.

Mishkin, F. S., & Eakins, S. G. (2009). Financial Markets and Institutions (Sixth ed.). Boston: Pearson Prentice Hall.

Moles, P., & Tery, N. (1999). The Handbook of International Financial Terms. United Kingdom: Oxford University Press.

Omar, M. W., & Ali, M. N. (2010). Brand Loyalty and Relationship Marketing in Islamic Banking System. Canadian Social Science , 6 (1), 25-32.

Parasız, İ. (2009). Para Banka ve Finansal Piyasalar (9 ed.). Bursa: Ezgi Kitabevi.

PBAT, The Participation Banks Association of Turkey. (2010). Türkiye Katılım Bankaları Birliği. Retrieved 06 28, 2010, from Statistics: http://www.tkbb.org.tr/index.php?option=com_content&task=blogsection&id=30&Itemid=382

Rose, P. S., & Marquis, M. H. (2009). Money and Capital Markets (Tenth ed.). Singapore: Mc Graw Hill.

Saunders, A., & Cornett, M. M. (2004). Financial Markets and Institutions (Fourth ed.). Sigapore: Mc Graw Hill.

Sayım, F. & Alakel, M. (2011). The Participation Banking And Its Comparison With Deposit Banking In The Turkish Finance Market, Scientific Journal European Integration Studies, Kaunas University Of Technology Institute Of Europe, No:5, 152-164. (*This study contains only 2007-2009 year in the sector.)

Sayım,F.(2013). Some Information About Participation Banks, www.akademikfinans.com The History of Kuveyt Türk. (2010). Retrieved 12 22, 2010, from Kuveyt Türk Participation Bank: http://www.kuveytturk.com.tr/tr/Hakkimizda_Tarihce.aspx

The Participation Banks Association of Turkey, T. (2008). Türk Finans Sisteminde Katılım Bankaları. Türkiye Katılım Bankaları Birliği.

The Participation Banks Association of Turkey-FAQ. (2010, 12 28). Retrieved 2010, from The Participation Banks Association of Turkey: http://www.tkbb.org.tr/index.php?option=com_content&task=blogcategory&id=46&Itemid=83

Yılmaz, O. N. (2010). Faizsiz Bankacılık İlkeleri ve Katılım Bankacılığı. Antalya, Turkey: Türkiye Katılım Bankaları Birliği.

Downloads

Published

2015-02-20

Issue

Section

Articles