Islamic financial contracts

Hawala or hewala ( , meaning transfer or sometimes trust), originating in India as havala (), also known as ' in Persian, and or ' in Somali, is a popular and informal value transfer system based on the performance and honour of a huge network of money brokers (known as hawaladars).

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

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 method