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Ijarah: Islamic Banking Lease Analysis by Syed Shariq Abdali Masoomi is a document available to read on EtoBox.

What is Ijarah: Islamic Banking Lease Analysis about?

This document analyzes Ijarah (leasing) as an alternative to other Islamic banking modes like Musharakah and Mudarabah. While Ijarah applies only to tangible assets, it is still a better option than conventional interest-based loans. However, Islamic banks structure Ijarah contracts in a way that ensures the bank recovers all costs, including profits, from the customer over the lease term. Rents are set based on benchmark rates and amortized costs rather than actual market rental rates. This allows Islamic

Author

Syed Shariq Abdali Masoomi

Language

EN