Islamic banking: Operation and instruments

Since the first modern Islamic savings bank was established in the Egyptian town of Mit Ghamr during the 1960s, and the establishment of Hajj investment fund in Malaysia also in the late 1960s, the Islamic financial system has continued to grow rapidly.Although Islamic banking is the most developed part of Islamic finance, the expansion of the Islamic capital market, encompassing the equity and debt markets, as well as the Islamic money market, cannot be ignored. Despite its rapid expansion, the Islamic financial system is still poorly understood by the Muslim world and continues to be puzzling to most Westerners.The sophisticated and innovative products and services that have been developed in the Islamic financial market are usually perceived as similar to their conventional counterparts; however these products/services are very different in terms of their modus operandi and principles. The Arabic terms associated with products/services are considered jargon to most people.Thus, the need to understand Islamic banking system and to foster an interest in Islamic finances, specifically Islamic banking, have resulted in the writing of this book. This book aims to share this knowledge with readers who are interested in understanding Islamic banking operations and its products and services. It is also hoped that this book will provide assistance to its readers to understand certain aspects of Islamic banking operations and services though the book does not mean to cover comprehensively those topics.This book covers Islamic banking operations by providing an overview about the balance sheets of conventional and Islamic banks.The reader is then exposed to Islamic banking products, both in deposits and financing activities.In the final part of this book, the reader is familiarized with Islamic trade finance products and instruments. We would like to express our highest gratitude and deep appreciation for the assistance and support provided by few individuals and institutions. Among others, the International Shariah Research Academy (ISRA), for providing initial insights; the Islamic Banking and Finance Institute of Malaysia (IBFIM) for providing valuable inputs; and Universiti Utara Malaysia for continuously supports the writers’ efforts to contribute knowledge to the society academically.Hopefully, this book will benefit practitioners, academics, students, the public and those who aspire to follow the development of the Islamic finance industry and its sciences

Saya pinjam atau saya berhutang?

Dalam perbincangan yang lepas, kita telah jelaskan hukum pinjam guna barang (al-'ariyyah) dan pinjaman wang (al-qard) secara ringkas.Disebabkan bahasa Melayu menggunakan istilah pinjaman bagi kedua-dua kontrak, saya perlu menjelaskan lebih lanjut perbezaan antara kedua-duanya

Ulama silam : Tradisi ilmu

Menjadi asas ulama dalam memberi sebarang pandangan sebenarnya ialah berpegang kepada al-Quran dan sunnah.Sekiranya sesuatu isu tidak diperkatakan oleh al-Quran dan sunnah secara langsung, mereka merujuk kepada fatwa Sahabat Rasulullah.Sekiranya tiada, mereka akan melihat hukum-hukum yang dikeluarkan oleh para ulama muktabar dan penghujahan-penghujahan dalam kitab-kitab mereka. lnilah tradisi ilmu ulama

The issue of sequence and pre signing in contract execution between shari'ah view and current practice

Pre signing of all the transactional documentsin one sitting by the customer is among the issue that is questionable as it does not follow the sequence in Shari'ah concept of 'offer and acceptance'. As 'offer and acceptance' or 'ijab' and 'qabul' i.e. sighah in popular juristic view is an absolute and executed after the possession of the contracted item, pre signing in normal circumstance has been seen as promise from one party to purchase or to sell. Hence, the question arises from the practice is does the promise can be considered as 'offer' or 'acceptance', or not? Any compliant issue in contract execution will affect the validity of the contract. Therefore, the study aims to discover few objectives such as Shari'ah view on sequence of contract execution in Islamic banking products; and Islamic banks' practices in executing contract in vehicle financing, house financing and personal financing. The paper discloses Islamic views on contract execution and how Islamic banks practices contract execution with customers. The paper suggests that the offer and acceptance should be done in proper manner as described by lslamic jurists and technology devices and communication technology should be used to overcome pre-signing needs

Harta orang muflis boleh dijual?

Umumnya, syariat Islam telah ini sejak sekian lama.Hadis riwayat Imam Muslim: Daripada Abi Sa'id berkata: "Telah menimpa seorang lelaki pada zaman Nabi s.a w. kemusnahan atas buah-buahan yang dibelinya maka telah menjadi banyak hutangnya.Rasulullah s.a.w. berkata kepada orang ramai: 'Bersedekahlah kepadanya.'Maka masyarakat pun bersedekahlah kepadanya.'namun tidak mencukupi untuk membiayai untuk membiayai hutangnya.Maka Rasulullah s.a.w bersabda kepada para pemiutangnya: 'Ambillah apa-apa yang kamu boleh ambil daripada hartanya, dan tidaklah kamu boleh mengambil kecuali yang tersebut'.

Konsep ahlussunnah wal jamaah: Satu penilaian

Artikel ini bertujuan menjelaskan pengertian Ahlus sunnah wal jamaah mengikut tafsiran ulama-ulama muktabar.Ia juga bertujuan menjelaskan beberapa konsep yang dipegang oleh Ahlussunnah wal Jamaah aliran Asha'irah dan Maturidiyyah khususnya berkaitan dengan isu-isu sifat Allah SWT, tawassul, bertabarruk, menziarahi kubur nabi SAW dan lain.Di akhirnya, artikel ini mendedahkan beberapa kontroversi semasa yang dilontarkan oleh beberapa pihak terhadap pegangan umat dalam Ahlus sunnah wal Jamaah ini

Sahkah jual beli itu?

Jual beli adalah suatu akad ke atas pertukaran harta dengan harta bagi tujuan pemilikan secara selama-lamanya. Justeru,jual beli berlaku apabila adanya pertukaran harta dengan tujuan pemilikan. Demikian juga, sesuatu jual beli hendaklah berlaku ke atas sesuatu yang diiktiraf sebagai harta mengikut syarak. Maka tidak sah menjadikan khinzir sebagai bahan berkontrak kerana syarak tidak mengiktirafnya sebagai harta. Pensyariatan jual-beli ini dijelaskan oleh Allah, "Dan Allah menghalalkan jual beli dan mengharamkan riba." (Al-Baqarah 2: 275