A critique of capitalist economic system: Islamic economics and financial alternatives

The basis of the economic depressions we are experiencing today and the social problems created by these depressions is capitalism, which, with all its institutions, morals and mentality, has first worked into the economic structure and then from the individual to society to all our cells. Capitalism has been strengthened by the understanding of mass production and the absorption of this production, which exceeds the limits of need, in the market through the pumping of consumption, has led to the emergence of a consumer society. Islamic economics, in which the need is limited, consumption is limited by the concept of waste, there is no interest, and zakat finds a place in its system as a fair distribution mechanism, contains the solution of the aforementioned economic and social problems at its core. In the Islamic economy, there are a number of policy objectives such as fair distribution, achieving success, increasing productivity, achieving a balance between the interests of the individual and society. Islamic finance, which is a policy tool in achieving these policy goals, is limited to financial network structures that include a commercial transaction in which there is no riba, consisting of earnings not acquired in ways that Islam considers haram, not based on speculation, betting and gambling. The Islamic finance sector, on the other hand, is of vital importance for the survival of an Islamic economy in today's economic conditions. With reference to this importance, the current conjuncture related to interest-free finance has been considered in the example of the world and Türkiye. By conducting a SWOT Analysis on participation banking in Türkiye, the strengths and weaknesses of participation banks, as well as opportunities and threats facing them, were evaluated. Participation banks exhibit a more risk-free structure by conducting their transactions on real assets, while offering customers fewer financial instruments and more bureaucratic transactions for this reason. They are also at a disadvantage in terms of graduates who are included in the workforce with their own field-specific academic studies and field education. SME-dominated, loyal customer structures that have applied to them in accordance with their beliefs are one of their most important strengths.