The Challenges of Islamic Moral Economy in the Contemporary Social Context of Bangladesh

The Islamic Moral Economy (IME) that was developed in the late 1960s and early 1970s offers a morally sound alternative to conventional economics focusing on justice and equity. Based on Islamic values, it encourages social responsibility, shared prosperity, and sustainable development using a unique economic and financial system. Islam is the predominant religion in Bangladesh, and the idea of an IME has drawn significant attention. Therefore, this study aims to provide an overview of the IME, and explore the contemporary state of the IME in the social context of Bangladesh. It also attempts to critically examine the multi­dimensional obstacles that hinder the effective implementation of IME in Bangladesh, focusing on the economic, social and political factors behind its complexity. The key findings revealthat the negative impacts of global capitalism, widespread corruption, violations of human rights, political instability, the rise of secularism and fragmented Islamic movements are significant obstacles that decrease economic justice and trust. The shortcomings of Islamic banking, which often ignore fundamental ethical values, also create significant obstacles. Finally, this paper seeks to illuminate the potential solutions for the IME from Bangladeshi perspective and offers valuable insights to policymakers, financial institutions, and researchers navigating Bangladesh's evolving economic landscape. With a qualitative approach, this paper relies on primary data from the professors of Islamic studies, political science and economics and an official of banking sector, and secondary data from journal articles, newspaper reports, social media, and related books.