Ins and outs of Islamic finance

Dubai—Islamic finance is a type of socially responsible investing that is governed by sharia (or Islamic) law. It is an alternative to conventional banking services and is available to all consumers, not just Muslims. Sharia law requires that banks share any gains and losses with depositors and interest loans is not permitted. Sharia law prohibits investments into sectors that go against Islamic belief such as alcohol, tobacco, gambling and pornography.
For the four things you need to know about Islamic finance, view: Absa, First National Bank (FNB), Al Baraka and HBZ Bank are the only financial institutions offering these services in SA. These banks offer a range of Islamic cheque accounts, Islamic savings accounts and Islamic investment accounts as well as vehicle, property and asset finance. CEO of FNB Islamic Banking Amman Muhammad says the bank has seen a consistent rise over the years in the number of South Africans taking up the bank’s transactional banking and investment, vehicle and property finance products irrespective of faith.—Agencies

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