The World economy and Islamic economics in the time of COVID-19: Few remarks and observations

Abstract

This paper is a critical response to the lead paper of the discussion forum entitled “The World Economy and Islamic Economics in the Time of COVID-19”, written by Benamraoui (2021). Benamraoui (2021) looked at the COVID-19 pandemic from the economic perspective. He pointed out that it has brought unprecedented challenges to the world economy, that have never been experienced before, including a sharp decline in economic output and substantial increase in the level of unemployment. He suggested that Islamic finance could provide solutions to reduce the impact of the pandemic. This paper argues that, it is true that COVID-19 has negatively affected the world economy in an unprecedented way. However, this is a global crisis like many other global crises that have battered the world before, and it will soon be over. This paper also argues that one should not overlook the other side of the coin, as many studies, articles, and blogs are coming up, showing some of the positive effects of COVID-19. This paper also argues that even though the suggested Islamic solution could help in reducing the negative impact of COVID-19, but the problem is, who is going to implement it? Even some Muslim countries may not apply it, waiting for a solution to come from the West. © 2021. All Rights Reserved.