Islamic finance emerged in the post-colonial period through the search to developan authentic Muslim identity in response to economic and financial matters. Sincethe late 1950s, modern Muslim economists (as academics) have been involved indeveloping an Islamic economic paradigm through the proposal of an alternativeIslamic system understanding with its foundational principles, institutions, workingmechanisms, and economic and financial instruments. By the 1970s, it was clearthat despite having Muslim states, the move into such a new paradigm was notpossible due to lack of political will in these countries.