ISLAMIC BANKING OPPORTUNITIES IN THE DEVELOPMENT OF AGRICULTURE IN BRUNEI DARUSSALAM

Abstract

The basic purpose of this study is to provide and make attention toward the role of Islamic banking in Brunei Darussalam known as BIBD in developing the agricultural sector in Brunei Darussalam. The methodologies of this research are descriptive and survey method through interview with relevant BIBD officers in order to reach the objectives of this research. By descriptive, the researcher will be able to find out the roles and challenges of BIBD in helping to develop the agricultural sector in Brunei Darussalam. The finding shows that there are numbers of Islamic banks around the world offered products and services for agricultural sectors. BIBD has a role in developing the agricultural sector by providing products and services as well in developing the agricultural sector in Brunei Darussalam. Moreover, BIBD need to introduce more underlying Shari'ah contract as the current practices mainly focuses in using Bay' Bithaman Ajil (BBA) for their financing.