Islamic banking

thumb|300px|right|Nations in dark green currently use a currency known as the dinar. Nations in light green previously used a dinar. States of former Yugoslavia appear in the inset to the lower left.

thumb|Nations in red currently use the dirham. Nations in green use a currency with a subdivision named dirham. The dirham, dirhem or drahm is a unit of currency and of mass. It is the name of the currencies of Morocco, the United Arab Emirates and Armenia, and is the name of a currency subdivision in Jordan, Libya, Qatar and Tajikistan. It was historically a silver coin.

banking and finance activity compliant with Islamic law

Riba (, or , ) is an Arabic word used in Islamic law and roughly translated as "usury": unjust, exploitative gains made in trade or business (especially banking). Riba is mentioned and condemned in several different verses in the Qur'an (3:130, 4:161, 30:39, and the commonly referenced 2:275-2:280). It is also mentioned in many hadith (reports of the life of Muhammad).

Sukuk (; plural of ) is the Arabic name for financial certificates, also commonly referred to as "sharia compliant" bonds. Sukuk are defined by the AAOIFI (Accounting and Auditing Organization for Islamic Financial Institutions) as "securities of equal denomination representing individual ownership interests in a portfolio of eligible existing or future assets." The Fiqh academy of the OIC legitimized the use of sukuk in February 1988.

type of coin

thumb|180px|Gold dinar of Umayyad Caliph [[Abd al-Malik ibn Marwan, minted at Damascus, Syria in AH 75 (697/698 CE), having a weight of almost 1 mithqāl (5 grams)]]

subdivision of currency used in many Arab countries

Takaful (, sometimes translated as "solidarity" or mutual guarantee) is a co-operative system of reimbursement or repayment in case of loss, organized as an Islamic or sharia-compliant alternative to conventional insurance, which contains riba (usury) and gharar (excessive uncertainty).

Murabaḥah, murabaḥa, or murâbaḥah (, derived from ribh , meaning profit) was originally a term of fiqh (Islamic jurisprudence) for a sales contract where the buyer and seller agree on the markup (profit) or "cost-plus" price for the item(s) being sold. In recent decades it has become a term for a very common form of Islamic (i.e., "shariah-compliant") financing, where the price is marked up in exchange for allowing the buyer to pay over time—for example with monthly payments (a contract with deferred payment being known as bai-muajjal). Murabaha financing is basically the same as a rent-to-own

proposed currency that aims to revive the gold dinar of the medieval Umayyad Caliphate

Saudi Arabian prince and businessman (1937–2017)

Qatari businesswoman

investment business firm licensed by the Central Bank of Bahrain

Islamic concept of interest-free lending

Gharar () literally means uncertainty, hazard, chance or risk. It is a negative element in ''mu'amalat fiqh (transactional Islamic jurisprudence), like riba (usury) and maisir (gambling). One Islamic dictionary (A Concise Dictionary of Islamic Terms) describes it as "the sale of what is not present" — such as fish not yet caught, crops not yet harvested. Similarly, author Muhammad Ayub says that "in the legal terminology of jurists", gharar is "the sale of a thing which is not present at hand, or the sale of a thing whose aqibah'' (consequence) is not known, or a sale involving hazard in which

Ijarah, (, al-Ijārah, "to give something on rent" or "providing services and goods temporarily for a wage" (a noun, not a verb)), is a term of fiqh (Islamic jurisprudence) and product in Islamic banking and finance. In traditional fiqh, it means a contract for the hiring of persons or renting/leasing of the services or the “usufruct” of a property, generally for a fixed period and price. In hiring, the employer is called musta’jir, while the employee is called ajir. Ijarah need not lead to purchase. In conventional leasing an "operating lease" does not end in a change of ownership, nor does th

Islamic banking institution created in 1979 after the Islamic Revolution

Muamalat (also muʿāmalāt, , literally "transactions" or "dealings") is a part of Islamic jurisprudence, or fiqh. Muamalat has been defined as Islamic "rulings governing commercial transactions", but also more broadly to include civil acts and in general all aspects of fiqh that are not Ibadat, i.e. not acts of ritual worship such as prayer or fasting, (See organizational chart of the structure of Islam below in "Principles" section.)

Islamic banking method

Bahrain-based nonprofit maintaining and promoting Shariah standards for Islamic financial institutions

name given to Islamic banks

Book by Mohammad Taqi Usmani