The Regulation Model Of Islamic Finance And The Choice Of Our Country

Recent years have witnessed the development of Islamic finance worldwide. As aresult, authorities of which develop Islamic finance come to face series problems of regulationand supervision, including issues of how to carry out prudential regulation, of whether to andhow to regulate and supervise the compliance of Sharia and of whether to amend current lawsor enact new laws, etc. Through the comparison of integrated/multiple supervision of Islamicfinance, united/separate supervision of Islamic finance, enact laws related of Islamic financeand whether the authority set up a division in charging of Sharia affairs or not of the fivecountries and district including Malaysia, Bahrain, Dubai International Finance Center,England and Pakistan, this paper analyses and contrast the regulation and supervision ofIslamic finance in these countries.According to the analysis and the contrast, this paper makes suggestions to theregulation that Islamic Finance be regulated separately in current multiple supervision model;Islamic finance be regulated separately at the start-up phase, be regulated uniformly after theindustry is developed to ripe; current laws be amended or we take example by DFSA model toset up a free zone which has its civil and commercial laws to develop Islamic finance;regulate the compliance of Sharia; risk management being implemented based on the Baselagreement and guidelines/standard issued by related international organization.