> Welcome to Islamic Finance & Banking forum

[Assad]

Welcome to Islamic Finance & Banking section.

This forum is reserved for the knowledge of Islamic Finance and Banking and issues surrounding it.

Our aim is to make a knowledge database for Islamic Finance as in our time it is important to have an understanding of issues related to hallal finance.

Please feel free to share any knowledge and ask any questions which you may have inshallah.

[salamfromrom]

Salam


I have always been fascinated with the issue of finance, since dirty money invalidates many of our good deeds.

So my question is, does anyone know a real 100% islamic bank? I mean a bank which actually complies with every aspect of shariah pertaining to this issue, and is not simply called ''islamic'' without it being actually so.

[Assad]

Walikum salam,

Brother it is important that you understand two things which is a part of the answer to your question.

1. The Islamic Finance is a field/economic system in itself.

2. Institutions may or may not follow Islamic Finance system.

Now usually people say that Islamic finance is just a deception and nothing new because now days many banks have used the term ISLAMIC BANK as a gimmick to attract Muslim investors. There are very very few banks which actually are operating Islamic Finance system. And now the Islamic Finance system is growing exponentially after the failure of conventional capitalist economic model. Few pure Islamic banks do exist in Pakistan, UAE , Jordan , Egypt and certain operations in UK too.


I hope this answers your question.

[salman]

^so the banks you are talking about are free of any kind of ribaa'? I highly doubt it

the core problem with banking and finance system in our time is the value and type of money itself. as long as there is garbage paper money, it is not easy to change the system.

and Allah knows best

[Assad]

^ I emphasized that there are very few banks who are operating the Islamic Finance system which uses financial instruments like Murabaha to provide funds without interest.

Obviously the conventional economic model is corrupt and need to be thrown away into garbage. There are however few banks/institutions who on their level try to practice the Islamic finance.