Can musharaka financing of SMEs be applied to the interest-based banking system?
(Islamic partnership finance) may also be of interest to conventional financial institutions, however, since there are only a few differences between musharaka and conventional partnership arrangements.
This article describes the principles and methods of musharaka, and the problems encountered in its application. It is argued that if the profit-and-loss sharing formula of musharaka is taken as one form
of venture capital, rather than an ideological concept, it may have a great deal of universal application, especially as a supplement to interest-based credit financing of SMEs.
Handbook of Research on Theory and Practice of Global Islamic Finance
Interest-Free Micro-Finance Without Any Religious Connotation
Ibrahim, Badr El Din A.
2020https://doi.org/10.4018/978-1-7998-0218-1.ch011 [Citations: 1]
Exploration of the equilibrium level of Musharaka financing in full-fledged Islamic banks
Journal of Islamic Accounting and Business Research, Vol. 12 (2021), Iss. 3 P.340https://doi.org/10.1108/JIABR-02-2020-0048 [Citations: 1]
The implication of using profit and loss sharing modes of finance in the banking system, with a particular reference to equity participation (partnership) method in Sudan
Abdalla Ahmed, Gaffar
Humanomics, Vol. 24 (2008), Iss. 3 P.182https://doi.org/10.1108/08288660810899359 [Citations: 7]
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