UAE Laws and Islamic Finance

Laws of the UAE and Islamic Finance

Archive for June 11, 2012

How Would A Person be Considered Qualified and an Expert in Fiqh Muamalah and Islamic Jurisprudence?

Excerpt from Law and Practice of Islamic Banking and Finance by Dr. Nik Norzrul Thani; Mohamed Ridza Mohamed Abdullah; and Megat Hizaini Hassan.

“Islamic jurisprudence or ‘Fiqh’ as it is known in Arabic, is mainly concerned with rulings derived from the basic sources of Shari’ah, namely the Quran, Hadith, Ijma, and Qiyas.  In this context, it merely means rulings on Islamic transactions extracted from the sources.  Islamic jurisprudence, in a wider perspective, denotes the sources and principles of jurisprudence,  in which it is the science which embodies knowledge of the proofs of evidences on which jurisprudence is founded, the methodology of making deductions from this knowledge, and the subject to which this law applies.  It includes the principles and rules formulated by scholars for regulating the process of Ijtihad and deriving subsidiary laws of the Shari’ah.

Muamalah, on the other hand, denotes the practices of mundane daily life in the contract of various forms of man to man relationship.  A significant segment of Muamalah is the conduct of a Muslim’s economic activities within his economic system.  And within this economic system is the banking and financial system where he has conduct of his banking and financial activities.  Thus, Fiqh Muamalah refers to the rulings in relation to the financial, commercial and banking transactions done in daily life, which has connection to the relationship of men and their economy, and the science and knowledge used to arrive at such rulings in accordance with the principles of the Shari’ah.”

UAE Laws and Islamic Finance

Laws of the UAE and Islamic Finance