Islamic banking

The issues of the acquisition of credit and the procurement of capital required to complete projects once interest is removed are at the core of Islamic banking. Several scenarios depict how Islamic banks could supply large sums of capital. For a revenue-yielding project like a power plant, shirka (partnership) can be used and the revenue divided. For a project that yields no revenue, like road construction, the government can issue new currency as it needs to. In the case of financing industry and commerce, both joint-stock companies and banks with shareholders can practice shirka methods. A popular view among Muslims that life insurance is haram is incorrect. Since life insurance does not involve risks on either the company's side or the holder's side, it does not offend shari`a . Shirka banks should raise capital in the agriculture and cottage industries. This would free peasants from unfair middlemen and aid the entire economy. Consumption-credit societies could provide c