The indispensable notion of Islamic banking is furthermore identified as 'interest-free banking'. It is operates on the crucial principled values with merely lone major distinction that Muslims aren’t supposed to give or accept interest. This does not connote n any way that selling tricks or money spinning activities are not promoted. All of these activities are considered fine if they don’t happen to involve any kind of interest in the dealings. In order to execute this principle, pecuniary devices have been launched by the Muslim financial institutions to gratify these necessities. Therefore a lot of equity financing is used instead of the debt financing. In order to keep their clients satisfied, interest free banks usually give a share from the bank profits instead of the interest on the savings account and this is usually up to five percent. Full Story Visit Site Printer Version