Beginning in the 1930s and increasing significantly post-colonialism, some Muslims scholars have wondered about the divine edict of interest-free nominal sector and how to realize it in the context of modern mass deposit institution and wide, concentrated financing demand for trade,...

Misunderstood and maligned, the determinants of mark-up (MU) rate under Murābaḥah financing deserve scrutiny of its structural formulation. Some suggest that MU rate is really interest rate. Is MU transaction pure trade? We analyze by considering the underlying market structure, central bank...

For financing businesses under a Zero Interest Financial System the primary desired mode is Profit Loss Sharing (PLS) contracts. However, the reality is different. An alternative, favored and dominant alternative is Mark-up (MU) financing. Lately, MU's risk-sharing features and its rate...

Owing to its unique nature, writing a profit-loss shared lending (PLSL) contract for a Zero-Interest Financial System (ZIFS) bank is a challenge. Like venture capitalists and stock owners, a PLS lender faces some of the same risks as the borrower. However, as a lender and not as an investor (as...

Part of a trilogy, this paper deepens microeconomic understanding of profit-loss shared (PLS) financing and connects Development Economics with Zero Interest Financial System. Virtual Market Model is its analytic umbrella. Incorporating bureaucratic inefficiency, systemic corruption, human...

Often spiritualism and religion impose social and economic duties (constraints) on its adherents. Islam promotes various encouragements, limitations and prohibitions on expenditure, consumption and production. So, in modern world, does Islamic brand of economics have a place? Capitalism and...