Business Activities of Islamic Banks

Business Activities of Islamic Banks

1. Hiwalah
transfer of customer accounts receivable covenant (muhil) to the bank (muhal'muhil) from other customers (muhal).

2. Ijarah
covenant of the lease of goods between the bank (Muaajir) with tenants (Mustajir) after the end of the lease rental items returned to Muaajir.

3. Ijarah Wa Iqtina
covenant of the lease between tenant premises banks followed the promise that at the time of the specified property rented to the tenant will move.

4. Istishna
akad sale of goods (Mashnu ') between buyer (Mustashni') with a orders recipient (Shani).

5. Kafalah
covenant granting of guarantees (Makful alaih) provided one party to another party where the guarantor (kafiil) is responsible for repayment of a debt that is due to security recipients (Makful).

6. Mudharaba
covenant between the owners of capital (Shahibul Maal) with managers (mudarib) to earn revenue or profits.

7. Murabaha
covenant between the bank's sale to customers.

8. Musharaka
covenant of cooperation joint venture between two parties or more owners of capital to finance a business type of lawful and productive.

9. Qard
akad loans from banks (Muqridh) to certain parties (Muqtaridh) which must be returned with the same amount as loan.

10. Qard ul-Hassan Al
akad loans from banks to certain parties to the social goals must be returned with the same amount as loan.

11. Al Rahn
delivery akad property (Marhun) and client (Rahin) to the bank (Murtahin) as collateral for some or all debts.

12. Sharf
akad trading currency with other currencies.

13. Ujr
rewards given or asked for a job done.

14. Wadiah
akad care goods or money between parties who have goods or money to the party entrusted with the aim of maintaining safety, security, and integrity of goods or money.