TY  - JOUR
T1  - Credit Risk Management Practices: A Study on Islamic Banking vs.
Conventional Banking in Malaysia
AU - Yazis Ali Basah, Mohamad AU - Amira Mohamad, Siti Nor AU - Ridhwan Ab. Aziz, Muhammad AU - Faizal Khairi, Khairil AU - Hidayah Laili, Nur AU - Sabri, Hisham AU - Md. Yusuf, Mazlynda 
JO  - Journal of Engineering and Applied Sciences
VL  - 13
IS  - 8
SP  - 2077
EP  - 2080
PY  - 2018
DA  - 2001/08/19
SN  - 1816-949x
DO  - jeasci.2018.2077.2080
UR  - https://makhillpublications.co/view-article.php?doi=jeasci.2018.2077.2080
KW  - Islamic risk management
KW  -Islamic banking and finance
KW  -credit
KW  -advise
KW  -justice
KW  -views
AB  - This study is conducted in order to identify on how Islamic bank and conventional bank are
difference in term of pre-approval financing. This study is concentrating on the evaluation of credit assessment
for business financing by applying qualitative method by interviewing 5 credit analysts in banking institution.
Interviews conducted is divided into two main parts: first, the current practices of credit assessment
in pre-approval stage and post-approval stage. Second, the study on how Islamic elements being utilised in
making financing decision, thus, managing credit risk. In the first part, it was found that there were no
differences between Islamic and conventional bank in term of credit assessment. However, most of the
respondents advise that, Islamic banks should come out with more proactive credit assessment rather than
depending on conventional practices. For the second part, all of the respondents held similar views and
opinions that the Islamic elements such as Adl (fair and justice), Istiqamah (Continous), Akhlak, Syura and
Tawakal should be implementaed in Islamic credit assessment. However, there is still lack framework on how
these issues could be implemented.
ER  -