The Islamic Economic System
Interest-free Islamic financial system is partly followed and partly not followed in Muslim nations around the world. The only nation, that has followed this method entirely in every minute detail is Malaysia. Hence that the program methods within this informative article are largely those employed in Malaysia after the Interest-free Islamic financial system.
The principal quality of the Islamic financial system is that it’s Interest-Free. Since the Qur’a claims in Sura al-Baqara
There are lots of evils of this interest based market, the reason Islam has banned it.
For Example, if a individual requires a loan by a bank and states the price price Of a specific article is 10 bucks and that he wishes to a benefit of a single dollar. Hence the selling price would comprise the 10 bucks cost price one Dollar gain and one dollar curiosity and also the sale price would be 12 Bucks. The selling price goes up due to curiosity and if the Selling cost goes up the need comes down and once the demand comes Down the distribution comes down as well as provide comes down creation comes Down causing labor issue and unemployment.