Banking or financing activity that complies with sharia (Islamic law) and its practical application through the development of Islamic economics. Some of the modes of Islamic banking/finance include mudarabah, wadiah, musharaka (joint venture), murabahah (cost plus), and Ijara (leasing). Sharia prohibits riba, or usury, defined as interest paid on all loans of money (although some Muslims dispute whether there is a consensus that interest is equivalent to riba). Investment in businesses that provide goods or services considered contrary to Islamic principles (e.g. pork or alcohol) is also haraam. The main issue in Indonesia is that profit-oriented organizations, whether privately owned enterprises, central government or local government, have not been fully led by leaders with leadership qualities, whereas business organizations are the spearhead of every country in the globalization competition.
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