Purpose This paper aims to compare the rebate computation in Islamic sale-based financing contracts as proposed by Bank Negara Malaysia (BNM) in its guidelines on ibrāʾ (rebate) - with the rebate computation in conventional finance that is applicable to conventional loans, thus examining if...

Over the last decade, Islamic Financials (Sukuk) emerged as a pioneering capital market instrument. The riskiness of Sukuk is similar to that of the bond as they depend on the financial credibility of the issuer hence assumed to have no significant difference, the only difference seems to be in...

India is big country with the population of 1.210 billion of which about 172 million (14%) are Muslims.We are having the conventional system of banking and finance which is based on only interest. A common practice seen here is anyone who is having any surplus money would be interested in...

The paper provides an explanation of the capital level and the regulatory capital level of Islamic banks compared to conventional banks based on corporate and regulatory approaches. Using a panel data of more than 400 Conventional and Islamic banks for the period from 2005 to 2014, we conclude...

An overwhelming criticism on practice of Islamic finance is lesser application of Shari'a based (profit and loss sharing) modes of financing. This study is conducted to analyze the issue based upon available literature and data. It is found in the process that profit and loss sharing based modes...

The global Islamic finance industry is estimated to be worth approximately US $1.4 trillion, and has grown much faster than conventional finance over the past four decades. Although 80% of this industry is concentrated in the Middle East, North Africa, East Asia, and the Pacific, it is active in...