Shariah-Compliant Instruments of Microfinance
Prohibition of riba, gharar, jahl, darar and other constraining norms in Islamic finance does not constitute an obstacle in building sound microfinance products. On the contrary, the need for Shariah compliance has led to considerable research into product development. While the conventional system provides for simple interest-based deposits, donations and loans, the Islamic financial system comprises an array of instruments for mobilization of funds, financing and for risk management. Instruments for Mobilization of FundsInstruments for mobilization of funds may be broadly divid...
Tariqullah Khan
| June 30, 2017