Related to Islamic Banking

2. GROUP MEMBERS
SYED MAISUM ABBAS RIZVI
FAHAD ALI
MUHAMMAD HAMZA
UMAIR AHMED
 FA15-BSE-025
 FA15-BSE-002
 FA15-BSE-007
 FA15-BSE-012

4. Outline of the Presentation
 History of Islamic
Banking
 Pakistan and Islamic
Banking
 Introduction of Bank
 Principles of Islamic
Banking
 Islamic Financial System  Islamic Financial
transaction Terminology
 Islamic Laws on Trading  Implementation of Islamic
Banking
 Islamic Modes of
Financing
 Difference between Islamic
and Conventional Banking
 Risk Management in
Islamic Banking
 Conclusion

5. What is Islamic Banking?
• The term “Islamic banking” refers to a system of banking or banking activity
that is consistent with Islamic law (Shariah) principles and guided by Islamic
economics. The contemporary movement of Islamic finance is based on the
belief that "all forms of interest are riba and hence prohibited".

6. History of Islamic Banking
• Islamic Capitalism
• Currency: Gold Dinar
• Early economic concepts and techniques
• Institutional involvement 70’s
• Dubai Islamic Bank 1975
Modern Islamic History

7. Pakistan and Islamic Banking

9. Introduction of Bank
Meezan Bank
• Follows Islamic Banking System
• A Premier Islamic Bank of Pakistan
• Incorporated on January 27, 1997

10. Principles of Islamic Banking

12. Islamic Financial System

14. Verses Related To Interest
• Allah will destroy Riba (usury) and will give increase for Sadaqat (deeds of
charity, alms, etc.) And Allah likes not the disbelievers, sinners.
( ‫سورة‬‫البقرة‬, Al-Baqara, Chapter #2, Verse #276)
• That which ye give in usury in order that it may increase on (other) people's
property hath no increase with Allah; but that which ye give in charity,
seeking Allah's Countenance, hath increase manifold” (Ar-Room 30:39)

15. Hadith related to Interest
• From Jabir: The Prophet, may peace be on him, cursed the receiver and the
payer of riba, the one who records it and the two witnesses to the
transaction and said: "They are all alike [in guilt]." (Muslim, Kitab al-Musaqat,
Bab la'ni akili al-riba wa mu'kilihi; also in Tirmidhi and Musnad Ahmad).

16. Islamic Financial Transaction
Terminology

18. Islamic Laws on Trading

20. Implementation on Islamic Banking

25. Islamic Modes of Financing

27. Difference Between Islamic and
Conventional Banking

29. Risks Management in Islamic
Banking

31. Conclusion