Encyclopaedia of Islamic Banking and Finance: New Perspectives on Profit Sharing

Islamic banking and financial system exists to provide a variety of religiously acceptable financial services to the Muslim communities. In addition to this special function, the banking and financial institutions, like all other aspects of Islamic society, are expected t ‘contribute richly to the achievement of the major socio-economic goals of Islam’. The most important of these are economic well-being with full employment and a high rate of economic growth, socio-economic justice and an mobilization and investment of savings for economic development in such a way that a just (profit-sharing) return is ensured to all parties involved.