Adapting the banking supervision of the Bank of Algeria to support the banking activity of Islamic banks operating in Algeria تطويع الرقابة المصرفية لبنك الجزائر لدعم النشاط المصرفي للبنوك الإسلامية العاملة في الجزائر

Abstract

The aim of this study was to clarify the function of central banking supervision to which Islamic banks are subject and the need to adapt it, by focusing on the most important banking supervision tools practiced on banks and the suitability of these tools for the nature of Islamic banking activity، The study also aimed at diagnosing the reality of Bank of Algeria's control over the branches of Islamic banks or Islamic windows operating in Algeria, and the extent to which this control is appropriate to the nature and specifics of the work of these branches and banking windows.

The same study concluded that the Bank of Algeria adapts branches of Islamic banks as well as the windows with the tools which applied to commercial banks, these tools may not fit with the nature of the work of Islamic bank branches and windows, , in a way that affects their relationship with the Bank of Algeria in the regulatory side. The study recommended the need to strengthen the supervisory role of the Bank of Algeria in the manner that regulates Islamic banking activity in Algeria by issuing appropriate legislation for the nature of the work of branches of Islamic banks،, working on the establishment of a supreme Sharia supervisory board at the level of the Bank of Algeria and training human resources to enable them with the skills and assets of Islamic banking،In addition, it is necessary to take advantage of the successful Islamic banking experiences.