Islamic Terrorism And Islamic Finance Essay

Decent Essays
With its assets estimated to total nearly $1 trillion globally, Islamic finance remains tiny compared to conventional finance with its tens of trillions of dollars. The market in Islamic bonds, or sukuk, is believed to total about $50 billion, roughly 1 percent of global bond issuance. In view of the financial crises which have been affecting the whole world, a solution in the name of Islamic finance could be introduced. As the global economic slowdown becomes more severe and protracted, many countries will be seeking alternatives, and Islamic finance can seize these new opportunities by offering standardized Islamic finance products with prudent regulations and supervisory arrangements. The beauty of the Islamic finance lies in its balanced and integrated approach towards a development policy that is urgently called for in the current crisis, caused by the awesome importance attached to the promotion of the financial sector alone. Islamic Finance is a viable alternative to conventional finance. What is Islamic Finance? Islamic finance is any finance that is compliant with the principles of Islamic law Shari’ahs. In terms of finance, Shari’ah explains in detail the ethical concepts of money and capital, the relationship between risk and profit and the social responsibilities of financial institutions. A distinctive feature of Islamic finance is that it does not allow the creation of debt through the direct lending and borrowing of money or other financial assets. The debts
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