The Feasibility of Issuing Ṣukūk under the Current Laws and Regulations in Algeria (Kelayakan Mengeluarkan Ṣukūk di bawah Undang-undang dan Peraturan Semasa di Algeria)
DOI:
https://doi.org/10.31436/jia.v17i2.964Abstract
The growth of Ṣukūk market has been nothing short of phenomenal. Many countries and corporations are looking to raise funds using Ṣukūk. However, several countries face legal impediments and regulatory constraints. Muslim countries such as Algeria is still yet to develop unique regulation to implement Ṣukūk due to current conventional legal and regulatory hindrances. Thus, this paper aims to critically examine the feasibility of the current laws in issuing Ṣukūk. This research is an exploratory study that utilizes qualitative analysis for the review of commercial and financial laws to find out the key elements from the current legal system in Algeria and examine whether it can permit the introduction of Ṣukūk. The study finds that the legislative provisions in commercial law, civil law, and other regulations, which are general in nature, are facilitative to the issuance of Ṣukūk. However, the current regulations in the capital market constitute an obstacle to the listing of Ṣukūk in the Algerian capital market. The research suggests initiating amendments to the current legal and regulatory provisions to allow the issuance of Ṣukūk as a preliminary step and then issuing a Ṣukūk law in the second phase. The contribution of this research is highly significant to the literature in the field of Ṣukūk regulation, and it can be a reference to policy makers to understand the modifications needed for the current Algerian legal system to pave the way for Ṣukūk issuance in the country.
Keywords: Ṣukūk, Legal and regulatory framework, Algeria.
Abstrak
Pertumbuhan pasaran Ṣukūk sedang berkembang sepenuhnya. Banyak negara dan syarikat mencari dana menggunakan Ṣukūk. Walau bagaimanapun, beberapa negara menghadapi halangan undang-undang dan kekangan peraturan. Negara Islam seperti Algeria masih belum mengamalkan peraturan baru untuk melaksanakan Ṣukūk disebabkan halangan dan undang-undang. Oleh itu, matlamat kertas ini adalah untuk mengkaji peruntukan undang-undang semasa di Algeria secara mendalam dan mengkaji cara mengatasi isu pengawalseliaan dalam memperkenalkan Ṣukūk. Penyelidikan ini adalah bersifat eksploratif dan menggunakan kaedah kualitatif dengan menganalisa dokumen-dokumen tertentu untuk mengetahui elemen utama peraturan semasa di Algeria bagi memastikan Ṣukūk dapat diperkenalkan. Kajian mendapati bahawa peruntukan dalam undang-undang komersial, undang-undang sivil dan peraturan-peraturan lain adalah umum dan tidak mencerminkan peruntukan khas yang membantu dalam penerbitan Ṣukūk. Penulis mencadangkan untuk memulakan pindaan kepada teks undang-undang dan undang-undang semasa untuk membolehkan penawaran Ṣukūk sebagai langkah diperingkat permulaan dan kemudian mengeluarkan undang-undang Ṣukūk dalam fasa kedua. Sumbangan penyelidikan ini sangat penting dalam bidang kesusasteraan undang-undang Ṣukūk dan mampu menjadi rujukan kepada pembuat dasar untuk mengenalpasti perubahan yang harus dilakukan terhadap sistem perundangan semasa di Algeria. Ini adalah bagi memastikan sukuk dapat ditawarkan dengan baik.
Kata Kunci: Ṣukūk, rangka kerja undang-undang dan peraturan, Algeria.
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