Commingled Mudarabah

Definition of "Commingled Mudarabah"

Relating to Islamic banks, a form of mudarabah in which a bank accepts funds for investment and contributes its own funds as well. The profit and loss are shared in agreed proportions and the bank also receives a share of the profit from out of the share of investors for its role as mudarib. See also non-commingled mudarabah.