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Economy

What are the five basic principles of Islamic banking?

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 What are the five basic principles of Islamic banking?

  Here are the 5 basic principles of Islamic banking:

  1.   Choice of transfer of ownership of goods sold from the bank or by other parties (ijaroh wa iqtina)
  2.   Capital goods financing based on the pure lease without choice or Ijaroh
  3.   The principle of buying and selling goods by obtaining profit or murobahah
  4.   Financing based on the principle of equity participation or musyarokah
  5.   Financing based on the principle of profit sharing or mudhorobah

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