Islamic Microfinance - An Introduction

Transcription

1. Islamic Microfinance
2. PRODUCT TREE Islamic Modes of Microfinance Partnership Based Modes § Musharaka § Mudaraba Trade Based Modes § Murabaha § Salam § Istisna Rental Based Modes § Ijarah § Diminishing Musharaka
3. Partnership Based Modes
4. MUSHARAKA •  Characteristics – All parties share in the capital – All parties share profits as well as losses – Profits are distributed as per agreed ratio – Loss is borne by the parties as per capital ratio – Every partner is agent of other
5. MUSHARAKA Rs . 60 PROFIT Rs. 100 Rs.1000 PARTNER A Rs. 40 Rs.1000 VENTURE Rs. 50 Must be according to capital ratio May be in any agreed ratio PARTNER B Rs. 50 LOSS Rs.100
6. MUSHARAKA Rs . 50 PROFIT Rs. 100 Rs.2000 PARTNER A Rs. 50 Rs.3000 VENTURE Rs. 40 Must be according to capital ratio May be in any agreed ratio PARTNER B Rs. 60 LOSS Rs.100
7. MUDARABA •  One partner (Rab al Mal) contributes capital and the other (Mudarib) contributes his skills or services to the venture •  Venture may for a fixed period or purpose •  Both share profit in pre-agreed ratio •  Loss is borne by Rab al Mal only, Mudarib loses his services
8. MUDARABA PROFIT 50 % 50 % SERVICES RABBUL MAL CAPITAL VENTURE ALL MONETORY LOSS MUDARIB LOSS OF SERVICES LOSS
9. MUDARABA PROFIT 60 % 40 % SERVICES RABBUL MAL CAPITAL VENTURE ALL MONETORY LOSS MUDARIB LOSS OF SERVICES LOSS