Reference no: EM132973092

Problem 1. In addition to the central banks general roles, Islamic Central Banks has a crucial role to supervise and monitor Islamic banking and finance, recognize those roles

Problem 2. Islam does not recognize any loan for deferral based on money's time value designed to benefit the lender, what are the alternatives suggested by Islamic Sharia

Time Value of Money in Islamic Finance

It further transpires from the Shar¯i´ah tenets that time valuation is possible only in business and trade of goods and not in the exchange of monetary values and loans or debts.

Islamic economics has the genuine provision of converting money into assets on the basis of which one can measure its utility, but loaning is considered a virtuous act from which one cannot take any benefit.

While it concedes the concept of time value of money to the extent of pricing in credit sales, it does not uphold generating rent to the capital as interest does in credits and advances, leading to a rentier class in a society. State the three aspects of Islamic Microfinance

Problem 3. Salam is considered as the most commonly used modes of Islamic Microfinance, discuss the rules and structure of Salam

Problem 4. In comparison way analyze the key differences bet Takaful & conventional insurance