Islamic Banking – What’s at the backend?

Islamic Banking – What’s at the backend?

By Muhammad Ali Nadeem

 

Like the other basic requirements of Islam, finance or financial transactions are one of the major activities that are needed to be compliant with Islamic modes. Riba wasn’t practiced in newly formed Islamic society of Medina soon after its abhorrence. Later, the religious scholars[1] have derived number of modes (of financing) to carry out financial transaction in line with Islamic Shari’ah needs.