AAOIFI Shariah Standards

Istisna’a and Parallel Istisna’a: Scope & Shariah Ruling

Scope of the Standard

Create Your FREE Account…

IslamicMarkets helps professionals navigate Islamic markets by providing powerful insights, analytics and collaboration tools.

The standard covers Istisna’a and parallel Istisna’a transactions whether the Institution is acting as an ultimate purchaser or is acting as a manufacturer or as a builder for construction.

 

Istisna’a Contract

  • Conclusion of an Istisna’a contract at the time of contracting or after the bilateral promise
  • It is permissible that the Institution and a customer conclude an Istisna’a contract before the Institution assumes title to the subject-matter to be sold to the customer or to the materials from which the subject-matter will be produced (manufactured or constructed).

« Salam and Parallel Salam: Appendix C - Definitions Adoption of the Standard »

https://islamicmarkets.com/standards/aaoifi-shariah-standards/istisna-a-and-parallel-istisna-a/scope-shariah-ruling-9
Copy URL