AI Summary & Key Takeaways
AI InsightTherefore, there is a need for a new financing model, which digitalization is at the forefront, for in the post-pandemic economic order (Bank of England, 2020: 6).
📌 3 Key Takeaways
Abstract
The world has been exposed to the effects of the COVID 19 pandemic since December 2019. More than 2 million died and more than 100 million were infected due to COVID 19 (John Hopkins University, 2020; WHO, 2019; Dong et al., 2020). Partial or full quarantine practices have been implemented to protect health systems against the high level of infectiousness of the virus. Quarantine measures decreased consumer and investor confidence, and the loss of workforce caused by the disease affected the world economy negatively. There was a sharp decline in the world stock markets, the supply chain was disrupted, and businesses were negatively affected by pandemic and quarantine measures. The problems experienced by the business were reflected in the households and unemployment increased (Ding et al., 2020: 1; McKibbin & Fernando, 2020: 2). According to IMF, the economic impact of the COVID 19 will be beyond the 2008 crisis (IMF, 2020a). COVID 19 causes problems beyond public health problems for the world. The shock effect of the pandemic, uncertainty, and the measures caused great destruction in the economies. The closure of workplaces and the increase in the unemployment rate caused the global economic crisis to deepen and social problems to emerge (IMF, 2020b). During the pandemic process, the effectiveness of traditional financing instruments was discussed. The world has been facing one of the largest economic crises since the 2008 financial crisis. While the 2008 financial crisis and COVID 19 have similar effects on economies, the sources of the two crises are different. Economic risks arise from internal and external causes. Internal risks consist of risks, which arise from the economic system. Exogenous risks are the risks created by non-economic factors (Wars, pandemics, political crises, etc.) (SRC, 2013). The 2008 crisis occurred due to the internal causes of the system and affected the entire economy by starting with the financial sector. The crisis, which is caused by COVID 19, is mostly affecting the real sector and this crisis is caused by external risk factors. IMF compared the crisis, which is caused by internal and external risk factors. Although crises created by external factors have more devastating effects in the short term, recovery in these crises is quicker. Recovery is more difficult in crises that are caused by internal factors (IMF, 2009). When the impact of the pandemic disappears, economic recovery will be rapid. However, the important issue regarding the pandemic is how financing the pandemic process and economic recovery after the pandemic.Risks on the economy increase with the classical interest debt-receivable relationship. The increase in the debt burden on the households, businesses, and governments causes the economic crises to deepen. Besides, the classical debt-receivable relationship causes stagnation in the real sector and unfairness in income distribution (Islamic Development Bank, 2020: 15 - 16). Some people have lost their jobs or part of their income due to the COVID 19 pandemic and businesses have stopped their activities. If these individuals and businesses are supported by traditional financing instruments, their existing debt burden will increase and the crisis will only be delayed. Microfinance became one of the important concepts after the pandemic. The pandemic process and the period after the pandemic one of the important concepts is microfinance. Microfinance is the provision of financing to low-income people (Emine et al., 2008: 57). During the pandemic, people who lose part or all of their income need financing. With the inability of these people to access current financing methods the microfinance mechanism should be implemented (Meagher, 2020: 1). With the pandemic process, digitalization has gained importance. Activities in education, the business world, arts, and many other fields are have been carried out on digital platforms. Therefore, there is a need for a new financing model, which digitalization is at the forefront, for in the post-pandemic economic order (Bank of England, 2020: 6).
Özet
COVID 19, dünya ekonomisi üzerinde yıkıcı bir etki yaratmıştır. Karantina önlemleri, tüketici ve yatırımcı güveninin azalmasıyla birlikte ülkeler küçülmüştür. İşletmeler faaliyetlerini durdurmuş ve işsizlik artmıştır. Bu dönemde geleneksel finansman araçlarının eksik yönleri ortaya çıkmıştır. Finansman faaliyetlerinde çevresel, sosyal ve ekonomik unsurlar denge içinde organize edilmelidir. Ancak geleneksel finansman faaliyetlerindeki borç alacak ilişkisi, çevresel ve sosyal unsurlara katkı sunsa da bu unsurlar arasında gerekli dengeyi kurabilecek yapıda değildir. İslami finansman modeli, sahip olduğu risk paylaşımı unsuru ve İslam dininin ilkelerinin oluşturduğu karakteristik özellikleri sebebiyle ekonomi, çevre ve sosyal dengeyi sağlayabilir. Bu çalışmada COVID 19 salgını ve sonrasındaki süreçte İslami finansman modelinin etkisi ele alınmış ve İslami finansman araçlarının kullanımına ilişkin öneriler sunulmuştur. Literatür incelemesi ve İslami finansman modelinin özellikleri göz önüne alındığında, COVID 19 süreci ve sonrası ekonomik toparlanmada İslami finansman modelinin dünya ekonomisine katkı sunabileceği yorumu yapılabilir. Salgın sebebiyle insanlar gelir kaybı yaşamış, kamu hizmetlerinde aksamalar meydana gelmiş ve ekonomide dijitalleşmenin etkisi artmıştır. İslami finansman modelinin kaynağını oluşturan İslami ahlak ekonomisi, finansman süreçlerinde toplumun çıkarlarını gözetirken sosyal ve çevresel unsurların da finansman kararlarında önemsenmesi ilkesini benimsemiştir. Ayrıca mikrofinansa uygun yapısı ve büyük potansiyele sahip İslami fintek uygulamaları ile İslami finansman modeli, COVID 19’un ekonomide yarattığı ihtiyaçlara uygun bir yapıdadır. Çalışmada İslami finansman araçları olan mudarebe, müşareke, sukuk, zekat ve tekafülün salgının etkilerine karşı uygulanması konusunda öneriler sunulmuştur