Major three principles of Islamic finance in the perspective of Islamic jurisprudence

Abstract EN

These three major principles denote another kind of financial ethics and rule which is permissible under the Islamic laws.

A careful study of these principles would suggest that the Islamic or interest-free banking has more potential than the traditional banks in the concept of development.

In fact, one who study Islamic finance with an open mind would come to an understanding that the Islamic financial system brings the idea of the economic prosperity by summiting the all side of society.

particularly, the weaker sector.

The main principle related the Islamic finance is to keep its ethical standards.

Hence, the onus is on the Islamic banks and other Islamic finance institutes to regulate all its financial operations and economic approaches being immersed in Shariah-complied ethical standards.

As Islam has provided rules and regulations patently on the whole modes of transactions, they ought to pursue its ethical functions.

Islamic banking should be complied by the Shariah principles which will make all the financial transactions in Islamic way.

These principles are agreed by Quran, Sunnah and Consensus of Muslim scholars.

Mainly three principles should be abided by the Shariah.

“And whatever messenger has given you- take.

and what he has forbidden you.

refrain from.” The major three principle are highly important in all transactions.

these principles are Ethical Standards, Moral and Social Values and Liability And Risk.

This research likes to explain these major principles in the light of Islamic jurisprudence.