The relationship between the central bank and Islamic banks: advantages and challenge

Abstract EN

Islamic banks constitute one of the most important parts of the banking system, especially in countries that have realized the necessity of having this type of banks within their financing system, given that they are a receptacle that orbs and exploits the money of depositors who are trying to avoid dealing with traditional banks.

This study aimed to describe the nature of the relationship that links the Central Bank with Islamic banks, by identifying the various advantages and challenges arising from this relationship.

The results concluded that Islamic banks in Algeria face many obstacles, including the ence of legal texts regulating the work of Islamic banks in a usurious environment.