This article puts forward a critical analysis of the development of Islamic finance in Egypt, with a sharp focus on the growth and development of the Egyptian banking sector. Although Egypt was a pioneer of the Islamic banking and finance industry, its growth came to a halt, with the factors contributing to this lack of growth arising from political issues related to the limited demand for Islamic financial tools in the country. This investigation critically analyses the development of Islamic finance in Egypt, from its inception in the 1960s to the subsequent period of political tension through the Arab Spring. The article concludes with an analysis of the development of Islamic finance in Egypt and sets forth recommendations to promote the growth of the industry.
Islamic finance, Islamic banking, performance analysis, banking profitability, Egypt.