Vol. 21, N°1 (2026)

86

25

The role of Islamic Banks in Financing Development and Directing Costs to Investment in Economic Sectors Effectively - An Applied Study of a Sample of Islamic Banks

Résumé

The study examined how Islamic banks might efficiently divert expenses toward investment in economic areas and finance development.  The research problem was described as follows: the reality of Islamic banking in Iraq suffers from the inability to effectively direct costs toward investment in various economic sectors, as well as the simplicity and weakness of investment financing in those sectors, which prevents legitimate profits from being made.  In addition to increasing its capacity to develop innovative financing formulas and methods that benefit the Muslim individual and are compliant with Islamic Sharia's provisions, the research is important because it focuses on financing development in accordance with the principles of Islamic Sharia, directs costs to investment in various economic sectors, and then increases the gain of profits that result from investment operations and the return of banking services.  The objective was to examine the realities of Iraqi Islamic banks in the areas of development and investment, as well as to elucidate the processes of financing expenses for investment in economic sectors.  The research's most significant findings are that Islamic banking plays a significant role in attaining development and growth by funding investments for the public, private, industrial, and service sectors. This, in turn, increases the bank's legitimate profits and, on the other hand, makes the best use of costs in those sectors to benefit Iraqi society.

Comment citer cet article

Imtithal Rasheed Bachai & Manal Hameed Majeed (2026), "The role of Islamic Banks in Financing Development and Directing Costs to Investment in Economic Sectors Effectively - An Applied Study of a Sample of Islamic Banks", International Journal of Management And Technologies, Vol.21, N°1, pp: 62-80. http://www.ijmat.tn/pages/articles/30/181