Financial institutions, acting as intermediaries, play a huge part in offering financial services to corporate businesses in the form of products and services. There have been significant developments in Islamic Corporate product lines as several innovative products have evolved to align with the requirements of local and international businesses.
Finance is the lifeblood of any business. Select the financing product or service best suited to your company’s requirements provided by Shariah-compliant institutions.
Islamic financial institutions have designed products and services to facilitate clients with financial activities that pertain to running a corporation or establishment.
It provides the account holder with a guarantee on the principal amount deposited. The account holders are not entitled to receive profits and are not responsible for losses. The current account is structured using a Qard arrangement, which is an interest-free loan deposited by the account holder.
One of the biggest challenges facing the Islamic finance industry is related to the management of liquidity and risk. Islamic banks, in terms of liquidity, are facing issues of shortages and excessiveness similar to conventional banks.
It deals with the short-term financing of import and export transactions. Since Riba (usury) is prohibited, various Shariah-compliant structures are applied to finance trade operations.