Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics

Until very recently, equity financing is more in line with the spirit of Islam as compared with debt financing. As such, mushārakah and mudārabah are the preferred modes for Islamic investors. It is therefore a matter of a concern that even after four decades after Islamic finance captured the att...

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Main Author: Naeem Chowdhury
Format: Article
Language:English
Published: Universiti Utara Malaysia 2013-07-01
Series:International Journal of Banking and Finance
Online Access:https://www.scienceopen.com/document?vid=06e1bb61-9801-4c18-aa27-ca3aefd93192
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spelling doaj-b7252bd33cb94a23ac8b050c3d4ef6692021-06-15T13:16:18ZengUniversiti Utara MalaysiaInternational Journal of Banking and Finance1675-722X2013-07-0110.32890/ijbf2013.10.2.8473Mush̄ārakah and Mudārabah Instruments: Assessing their CharacteristicsNaeem ChowdhuryUntil very recently, equity financing is more in line with the spirit of Islam as compared with debt financing. As such, mushārakah and mudārabah are the preferred modes for Islamic investors. It is therefore a matter of a concern that even after four decades after Islamic finance captured the attention of investors around the globe, these two purest genres account only for a small percentage of Islamic financial industry. The paper examines more searchingly for the reasons why mushārakah and mudārabah occupy such insignificant place among Islamic financial products. This paper offers an analytical insight.  https://www.scienceopen.com/document?vid=06e1bb61-9801-4c18-aa27-ca3aefd93192
collection DOAJ
language English
format Article
sources DOAJ
author Naeem Chowdhury
spellingShingle Naeem Chowdhury
Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
International Journal of Banking and Finance
author_facet Naeem Chowdhury
author_sort Naeem Chowdhury
title Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
title_short Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
title_full Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
title_fullStr Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
title_full_unstemmed Mush̄ārakah and Mudārabah Instruments: Assessing their Characteristics
title_sort mush̄ārakah and mudārabah instruments: assessing their characteristics
publisher Universiti Utara Malaysia
series International Journal of Banking and Finance
issn 1675-722X
publishDate 2013-07-01
description Until very recently, equity financing is more in line with the spirit of Islam as compared with debt financing. As such, mushārakah and mudārabah are the preferred modes for Islamic investors. It is therefore a matter of a concern that even after four decades after Islamic finance captured the attention of investors around the globe, these two purest genres account only for a small percentage of Islamic financial industry. The paper examines more searchingly for the reasons why mushārakah and mudārabah occupy such insignificant place among Islamic financial products. This paper offers an analytical insight.  
url https://www.scienceopen.com/document?vid=06e1bb61-9801-4c18-aa27-ca3aefd93192
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