Islamic banking

Definition

A system of banking based on the statutes of Islamic law and economics. Paying or collecting interest, or riba, is prohibited by Islamic law. Sharing profit and loss is a banking principle and shareholder capital and deposits are kept separate to ensure fair revenue sharing.

Use Islamic banking in a sentence

You should always read up on any islamic banking laws before you do any banking in that part of the world.

​ Was this Helpful? YES  NO 2 people found this helpful.

If you are going to be doing any deals in the middle east you may want to read up on how islamic banking works.

​ Was this Helpful? YES  NO 7 people found this helpful.

I was new to islamic banking so I did not know the right procedures and right way to go about using their system.

​ Was this Helpful? YES  NO 6 people found this helpful.

Show more usage examples...

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ISK Islamic Financial Services Board (IFSB)