Islamic Modes of Financing

Method / Finance and Investing


Islamic Modes of Financing
Qais Zahir , Student (MBA), Afghanistan

Islamic modes of financing refer to interest-free economy


Islamic modes of financing refer to interest-free economy. In bringing the economy to the conjunctions of Islam the following modes of financing in live with Islam.

1-Financing by Lending
• Loans with Services charges
• Qarze Hasana

2-Trade Financing
• Leasing
• Buying and selling of goods
• Hire-purchases (Installments Plan/ Buy in Installments (British))

3-Investments
• House building loans on rent-sharing
• Musharaka (Profit and Loss sharing)
• Modaraba Certifications
• Purchase of shares
• Equity participation
• Buying of trade bills
• Development of property on service charges
• Purchase of estate with buy-back agreement.

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Other Views by this Author: منابع وعوامل تشکیل دهنده ریسک دارای های مالی | Usefulness of economics | Mixed Economy | Types of banks


 
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