Modern Islamic Banking: Products and Processes in Practice

A Complete, Detailed Guide to Modern Islamic Banking Fundamentals

Modern Islamic Banking provides a comprehensive, up-to-the-minute guide to the products, processes and legal doctrines underlying the expanding Islamic banking system.

The conventional financial system focuses primarily on the economic and financial aspects of transactions, whereas the Islamic system places equal importance on the ethical, moral, social and religious characteristics to enhance equality and fairness. This authoritative guide fully clarifies the ins and outs of this emergent form of ethical investing and lending, where loans must be interest-free. In just thirty years, Islamic banking has gone from purely local operations to an alternative finance system of products and services for the international community, and after successfully weathering the banking crisis as a result of its unconventional paradigm, more non-Muslim investors are seeking its products to gain a competitive edge. In an engaging, conversational style, this streamlined resource quickly brings you up to speed on Islamic banking by guiding through:

• The long-standing principles of Islamic banking and finance grounded in the profit and loss sharing principles outlined in the Code of Hammurabi
• The products, vocabulary and key concepts of the field, including profit and loss sharing, justness in exchange, transparency and the prohibition of usury
• The applications in such financial contexts as asset management, treasury, risk management, venture capital, SME finance, micro-finance and taxation
• The regulatory frameworks and valuation of Islamic banks, including the vital components of a good valuation model and how to use one to place a reasonable value on a firm as well as a bank

For everything you need to know and how it applies to your current practices, turn to Modern Islamic Banking.