An overview of mortgage enforcement in Malaysia / Siti Dalila Abdul Ghani … [et al.]

Title: “An Overview of Mortgage Enforcement in Malaysia”

An Islamic-based development organization must adhere to the principles of Sharia corporate governance and Islamic management practices. These two principles can be achieved through strategic management, which will define the organization's objectives and course of action. An example of this is the mortgage institution, which was established on the principles of economic development and provides Islamic services. In contrast to conventional development institutions, its management strategy focuses more on the pursuit of profit. When its governance is guided solely by the wishes of its stakeholders. This is synonymous with the stakeholder theory commonly used in governance studies (Shah and Sharif, 2018).

Therefore, Islamic financial instruments that comply with Sharia regulations are always in demand. Today, a wide range of Sharia-compliant financial products have been launched to meet consumer needs, both short- and long-term, thanks to the emergence of Sharia-compliant alternatives to conventional banking. Sharia is known to be the foundation of Islamic banking. Even though both types of banking offer similar services and functions, one of the things that distinguishes Islamic banking from conventional banking is this idea. The two fundamental principles of Islamic banking are profit and loss sharing between the bank and its customer and the prohibition of interest (riba) (Azli et al., 2017).