The ongoing turbulence in the global financial markets has drawn attention to an alternative system of financial intermediation, Islamic banking and finance. This sector has so far remained on the sidelines of the unrest. The sector has grown rapidly in recent years and this new found prominence has raised many questions as to what exactly is Islamic banking and how does it work. This book provides answers to most of these questions.
"In his other book Frequently Asked Questions in Islamic Finance, Brian Kettell answers some of the most frequently asked questions from his many years experience in working and teaching in Islamic Finance and Banking. The author’s knowledge of the Qu’ran and Sharia’a Law, to new and old Islamic financial concepts, Islamic terms, and Islamic Financial instruments and services, is evident from the simple and reader-friendly approach in explaining what is otherwise difficult to comprehend." — IIFL
Finally! A book about economics that won’t put you to sleep. In fact, you won’t be able to put this bestseller down. In our challenging economic climate, this perennial favorite of students and general readers is more than a good read, it’s a necessary investment—with a blessedly sure rate of return.
You buy financial assets for the cash flows you expect to gain. The price of a stock cannot be justified by assuming there will be other investors around who will pay a higher price in the future. That is the equivalent of playing an expensive game of musical chairs. As a
Accounting and finance like all other business disciplines, really are as much art as they are science. The art of accounting and finance is the art of using limited data to come as close as possible to an accurate description of how well a company is performing. Accounting and finance are
Islamic financial institutions are those that are based, in their objectives and operations, on Qur’anic principles.
Profit-and-loss sharing is at the heart of the Islamic system: In pure Islamic banking both the investor and the entrepreneur share the results of the project in an equitable way.
Lexically, Ijara means to give something for rent. In Islamic jurisprudence, the term Ijara is used for two different situations.
Sharia’a is the religious law of Islam. As Islam makes no distinction between religion and daily life, Sharia’a law covers not only the religious rituals but every aspect of life.
Musharaka is a form of partnership between an Islamic bank and its clients whereby each party contributes to the capital of the partnership to establish a new project or share in an existing one.
All Islamic banks operate current accounts on behalf of their clients. These accounts are operated for the safe custody of deposits and for the convenience of customers.
Mudaraba is a partnership in profit between capital and work. It is conducted between investment account holders, as owners of capital, and the Islamic bank as Mudarib.
Muslims have a moral obligation to conduct their business activities in accordance with the requirements of their religion. They should be fair, honest and just towards others.