The Reality and Requirements of Developing the Islamic Banking Industry in Algeria ; a Case Study of Al Baraka Bank during the period 2008-2021

Abstract

This study aims to see the reality of the Islamic banking industry in Algeria, by shedding light on the reality of Islamic windows in  traditional banks. We also focused on the experience of Al Baraka Bank.To achieve the objectives of the study, the descriptive analytical  approach was used to try to understand the experience of Islamic banks in Algeria by studying the performance and reality of Al Baraka  Bank, as well as the Islamic windows adopted by traditional banks. Information was collected and analyzed using multiple tools and  approaches.The study reached a set of results, the most important of which is that Islamic banking in Algeria is still somewhat weak compared to some countries that have made great strides in this field, and also compared to the traditional banking reality in Algeria, as  it did not exceed 3% of the total financing volume, despite the efforts and attempts made. By the Bank of Algeria to strengthen Islamic  banking, and in order for this type of financing to be promoted, development requirements must be taken into account and horizons  studied that make it an Islamic banking industry in line with the reality of the Algerian banking system.