The-definition.com

Definition

Islami Banks

Islami banks do business of banking as commercial banks but it is on the basis of Islamic Shariah or Islamic principles and guided by Islamic economics.

Two basic principles behind Islamic banking are

 - the sharing of profit and loss and,

 - significantly, the prohibition of the collection and payment of interest.

 

 

Share it:  Cite

More from this Section

  • Winding up
    Winding up of a company is done by paying the company’s creditors, and then distributing ...
  • Cargo insurance
    Cargo insurance is a type of ocean marine insurance that protects the shipper of the goods ...
  • Ballot
    Ballot is the document distributed at the annual meeting to shareholders of record who ...
  • Personal umbrella policy liability
    Personal umbrella policy liability is a policy designed to provide protection against ...
  • Roth IRA
    Roth IRA is an IRA in which the contributions are not income-tax deductible but distributions ...