Connecting principles with practice
The book brings together the underlying purposes of Islamic finance and the practical rules governing financial products and services. One of its key subjects is maqasid al-Shariah, the objectives of Islamic law, and their relationship to financial contracts and Islamic banking. This gives the discussion a broader perspective: understanding Islamic finance involves both the requirements that govern a transaction and the purposes those requirements serve.
Islamic securities and Shariah expertise
Two closely related discussions focus on Malaysia’s capital market. The first examines the screening process for Shariah-approved securities; the second considers the role of Shariah advisers in developing Islamic securities. Together, these topics connect the assessment of investments with the expertise needed to develop financial instruments under Islamic law.
Waqf as a source of education funding
The book also examines waqf, or Islamic endowment, through the International Islamic University Malaysia’s experience in managing an endowment fund. This case study brings education funding into the discussion of Islamic finance, extending the book’s scope beyond banking and securities to the management of funds for educational purposes.
The Malaysian experience
A further discussion examines Malaysia’s Islamic financial system and its future development. Alongside the chapters on securities and endowment management, it places the book’s legal and conceptual themes within a national financial system.
Read together, these subjects offer a view of Islamic finance at several levels: the objectives of contracts, the assessment and development of securities, the management of an endowment, and the development of a financial system. The common thread is how Shariah principles take practical form in financial activity.