Musharakah Financing (Fundamentals of Islamic Finance Book 6)
Musharakah Financing (Fundamentals of Islamic Finance Book 6)

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Musharakah means a joint enterprise formed to conduct business in which all partners share the profit according to pre-agreed ratio while the loss is shared according to the ratio of contribution. Profit and loss sharing are the modes which can create a real difference in the society, not common in conventional banking. By application of sharing modes, IFIs can extend financing facilities to the persons lacking provision of sufficient security in getting finance. Mudarabah another sharing mode of financing could be used as a source of self-employment by putting money in the hands of skilful persons lacking resources.Learning objectivesAfter going through this chapter reader should be able to understand and interpret the following:What is Musharakah financing?What are Shari’ah rulings about operations of Musharakah financing?How financial impact of Musharakah financing is accounted for?Why is Musharakah financing not as popular as other modes of financing?

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  • Released: September 24, 2020
  • Author: Muhammad Hanif
  • Rating: 5
  • Publisher: Ebook Store Group
  • Total Page: 26 pages
  • File Size: 2395 KB
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