There has recently been a flurry of conferences and seminars sponsored by Muslim countries, such as Iran and Pakistan, and even world monetary agencies, such as the IMF and World Bank, on the issue of Islamic finance. Islamic banking is based on the Qur'anic prohibition of riba . A fundamental rift seems to exist at high levels of Islamic scholarship as to what exactly riba entails. Increasingly, though, the majority of Muslims are beginning to espouse the view that interest constitutes riba, hence the recent emergence of Islamic banking. There are many differences between the manner in which most banking is done today and Islamic banking. One difference is the manner in which the latter are able to elicit deposits from which the owners do not expect any return, as with qard hasan and other forms of charity loans. The notion of profit sharing is quite foreign to Western banks because of the risk often associated with it. Though many are critical about Islamic banking, few arguments ag
Year
1987
Country
Pakistan
Language
English
Abstract
English
ISSN/ISBN
1814-8042
No. of Pages
pp.31-56
Number
1
Volume
4
Select type of work
Name of the Journal
CIS Program Old
CIS publications
No
CIS Thesis
No