المجلة الدولية للاداء الاقتصادي
Volume 4, Numéro 1, Pages 276-291
2021-06-30

Musharakah Mutanakisah (mm) Financing: Experience Of Islamic Banks

Authors : Mouhoub Dalal . Deghmoum Hichem .

Abstract

This study aims to analyze the concepts and practices of Musharakah Mutanakisah (MM) by Islamic banks. The findings revealed that the MM is a hybrid contract that combines three independent contracts namely: partnership, leasing and sale. MM could be used it for financing asset acquisition as well as for other types of partnership. Hence, MM has been successfully implemented by Islamic banks in Islamic and non-Islamic countries for house financing.

Keywords

Islamic banks ; Leasing and sale ; Musharakah Mutanakisah (MM) ; Partnership