Lease contract is considered an impractical mode of financing in modern Islamic banking and finance and does not represent a genuine alternative to the charging of interest.

Question

Quizplus · Accepted Answer

Lease contracts, specifically Ijarah, are considered a practical and genuine alternative to interest-based financing in modern Islamic banking and finance, as they comply with Shariah principles by providing a tangible asset or service for a fixed period and fee, without involving interest.

Lease Contract Is Considered an Impractical Mode of Financing in Modern