Problems and prospects of Islamic banking development in Russia

in the context of increased sanctions from the European Union and the United States, it is becoming strategically important to deepen cooperation with the states of the Persian Gulf, Africa and Asia, where the Islamic banking system is successfully operating in some countries. In this context, the introduction of Islamic banking in Russia is becoming increasingly relevant. Islamic banking as a whole has a significant impact on economic recovery by providing financial support to small and medium-sized businesses, as well as directing investments in tangible assets and projects focused on long-term sustainability. In the current economic environment, Islamic banks are actively expanding their activities, becoming prominent players in the global banking capital and direct investment markets, offering alternative financial instruments. These banks, observing the ethical norms of Islam, contribute to the diversification of the financial system and stimulate socio-economic development. This paper analyzes the key aspects of the functioning of Islamic financial institutions. The distinctive features and characteristics of the most common Islamic banking tools are described, and attention is focused on their advantages and limitations. The article examines the practice of applying Islamic financial principles in various countries of the world. The factors that determine the demand for Islamic financial products among Russian consumers are substantiated. The regions of the Russian Federation with the greatest potential for the development of Islamic banking are identified. The dynamics of the development of the new financial industry in Russia is analyzed. The obstacles that hinder the integration of Islamic finance into the Russian economic system are identified, and ways to overcome them through the implementation of a set of appropriate measures are proposed. The possible trajectories of the development of this sphere in Russia are considered, taking into account international experience.