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ISLAMIC FINANCE IS THE GOOD ALTERNATIVE OF CONVENTIONAL INTEREST BASED SYSTEM

Authors: Noman Ali Khan; Afifa Imran;

ISLAMIC FINANCE IS THE GOOD ALTERNATIVE OF CONVENTIONAL INTEREST BASED SYSTEM

Abstract

Currently, conventional interest based system causes an uneven distribution of wealth between people. It is all due to interest “Riba”. Now, the world necessarily needs a new finance system, in which the wealth must be distributed in a suitable way which removes this kind of unbalance from the societies and the countries. Fortunately, Islamic financier economists has succeed in applying Islamic rules as financial modes in Islamic banks as an alternatives of “Riba”. This article shows what the forbidden interest in Sharia is, and how it weakens the financial stability. Thus, it highlights the particularities of Islamic finance resources, and its initial terms.

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Keywords

Islamic banking, Conventional banking, Islamic Finance, Interest, Riba.

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popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
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influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
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impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
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