Business Analysis Of Islamic Bank In Kazakhstan

Since 1960 s Islamic finance has been growing fast and already achieved many significant milestones. Sharia-compliant assets under management of Islamic banks and financial institutions have grown up to US dollars(US$) 1.1 trillion globally(Hall, 2014). The industry has established its own regulatory authorities and standard-setting bodies. Islamic finance has been evolving in many Muslim countries as we ll as in countries with majority of non-Muslim population.The purpose of this report is to answer the question ‘How attractive is setting up an Islamic bank in Kazakhstan?’. This persuades us to find out whether there is a demand for Islamic banking products or not. Also we need to prepare a strategic plan of a new Islamic banking venture in the country and analyze its practicability.To deal with these questions we review the Islamic banking industry and Kazakhstan banking sector in the following chapter. Next we present a demand study for Islamic banking in Kazakhstan, where both primary and secondary data is used. The banking strategic plan chapter provides the strategic analysis, development plan and financial projections of a new Islamic bank. Also we will see how some key bank performance factors depend on a bank’s profitability.And the next chapter we conclude that a new Islamic bank in Kazakhstan is a viable business idea and can be interesting for potential investors.Finally we will see how some key bank performance factors depend on a bank’s profitability.This paper can be helpful for additional discussion, analysis and decision-making by investors interested in Islamic banking in Kazakhstan. Also the derived conclusion and recommendations can be useful for further development and improvement of the regulatory framework in the country.