Islamic Banking

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Islamic Banking

A system of banking that only offers products that conform to the sharia, or Islamic law. For example, in Islamic banking, checking and savings deposits do not accrue interest. They either lie dormant until withdrawal or are invested. Because this involves higher risk than conventional banking services, various highly technical products have been developed to mitigate risk and generally imitate "regular" banks as much as possible while still complying with Islamic law. Considerable debate exists as to whether these Islamic banking products are in fact sharia-compliant.
References in periodicals archive ?
The subject Islamic financing is known as Commodity Murabahah.
Islamic financing has been offered through this unit since October 2013.
The Financial Services Authority (FSA) working group was created to discuss how to integrate Islamic financing transactions into the United Kingdom's legal and financial system.
Hashmi, Comment, Islamic Financing in the United States: Solution or Deception?
The Islamic financing provided to Century Tokyo Capital (Malaysia) Sdn.
Islamic financing commenced in this unit in October 2013, and by the end of this month, upon approval from Bank Negara Malaysia, it will launch another Islamic financing product called Ijarah.
After sharing information that can lead to the development of Islamic finance concept and philosophy, both parties will collaborate in the fields of exchanging knowledge, encouraging the preparation of reports and studies conducted by both parties, raising awareness regarding suitable frames to manage risks in Islamic banks in particular and Islamic financing sector in general , cementing financial stability, and increasing the chances of entering emerging markets through Islamic financial services.

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