Proper Implementation of Salaf in Islamic Banking Using Specialized Commodity Exchange for Standard Exchange Commodities

• Main Authors: Mohammad Naghi Nazarpour, Yahya Lotfinia
• Format: Article
• Language: fas
• Published: Imam Sadiq University 2015-04-01
• Series: تحقیقات مالی اسلامی (پیوسته)
• Subjects: islamic banking; sspecialized commodity exchange; financing; salaf facilities; parallel salaf
• Online Access: http://ifr.journals.isu.ac.ir/article_1729_875d466cf0b236b973a202d675e5e486.pdf

As financial intermediaries, banks seek ways to accumulate capital, along with using other factors of production. Islamic banking uses various methods to meet the needs of its clients. In fact, other than having economic applications, these methods should conform to religious regulations. One of the facilities used for fulfilling manufacturers' need for financing in <em>riba</em>-free banking is <em>salaf</em>-based facilities. Due to banks' risk aversion and their lack of interest in participating in the real sector of economy, banks have never truly implemented such facilities. However, banks should always pay attention to financing with the aim of production and with respect to religious law. <br />This descriptive-analytical study was carried out using library resources. It aimed at verifying this hypothesis: "Specialized commodity exchange can assist Islamic banking in reviving the implementation of <em>salaf</em> commodities for the products traded on specialized commodity exchange." In fact, banks’ exploitation of the potentials of active institutions in the capital market leads to decreasing costs, and the range of activities in various economic sectors.