Waad in Shariah
Introduction to risk management
In
islamic financial institutions
RZB4503
waad from the Shariah perspective
Table of Contents Introduction 3 The definition of waad 3 Pillars of waad 4 Term, conditions and prohibitions of waad 5 The difference between waad and aqad 5 Scholars opinions 6 Applications and issues of waad in modern Islamic financial transactions and its importance 10 Effects of waad from Islamic financial institutions perspective 11 Conclusion 13 References 14
Introduction
Humans sometimes obligate themselves with voluntary matters, which requires them to meet these obligations in the future, because the practical life of individuals and groups require them to, and because the individual is a member of the society, he must extend links between him and the community, some of which social and economic links. Contracts are divers images, known and common among members of the community, comes from it obligations to be fulfilled.
One of the faces of civil and rural socity, meeting the obligations of its members various promises and covenants, in old times, one would promise his brother what would be beneeficial for both parties. And the promise is achieving benevolence to a man by another. Promise is like a project to fix the society and the individual, there is no doubt that fulfilling and accomplishing it, has a great impact on social relations, positive or negative.
The area of Islamic banking and finance has naturally received the most attention by Islamic economists and jurists, in view of the direct outcome of the prohibition on the payment and receipt of interest. Alternative Islamic modes of finance have thus been developed, their comparative advantages assessed and their applicability to various sectors and operations considered.
One of the modern day additions to the original Islamic mode of business transactions is the series of "promises" initiating from both parties, i.e. bank and customer. As a result, Waad
In
islamic financial institutions
RZB4503
waad from the Shariah perspective
Table of Contents Introduction 3 The definition of waad 3 Pillars of waad 4 Term, conditions and prohibitions of waad 5 The difference between waad and aqad 5 Scholars opinions 6 Applications and issues of waad in modern Islamic financial transactions and its importance 10 Effects of waad from Islamic financial institutions perspective 11 Conclusion 13 References 14
Introduction
Humans sometimes obligate themselves with voluntary matters, which requires them to meet these obligations in the future, because the practical life of individuals and groups require them to, and because the individual is a member of the society, he must extend links between him and the community, some of which social and economic links. Contracts are divers images, known and common among members of the community, comes from it obligations to be fulfilled.
One of the faces of civil and rural socity, meeting the obligations of its members various promises and covenants, in old times, one would promise his brother what would be beneeficial for both parties. And the promise is achieving benevolence to a man by another. Promise is like a project to fix the society and the individual, there is no doubt that fulfilling and accomplishing it, has a great impact on social relations, positive or negative.
The area of Islamic banking and finance has naturally received the most attention by Islamic economists and jurists, in view of the direct outcome of the prohibition on the payment and receipt of interest. Alternative Islamic modes of finance have thus been developed, their comparative advantages assessed and their applicability to various sectors and operations considered.
One of the modern day additions to the original Islamic mode of business transactions is the series of "promises" initiating from both parties, i.e. bank and customer. As a result, Waad
References: Bibliography Difference between a Promise and a Contract. (2006, January 17). Retrieved May 7, 2013, from Concepts in Islamic Economics and Finance: http://cief.wordpress.com/2006/01/17/difference-between-a-promise-and-a-contract/ Qazi, M. A. (2012). The Binding Nature of Wa’ad (Promise) and Its Application in Islamic Finance. International Journal of Business and Social Science , 206-213. Razali, S. S. (2008). THE CONCEPT OF WA’AD IN ISLAMIC FINANCIAL CONTRACT*. Selangor: Dept Business Admin, Kulliyyah of Econs & Mgmt Sciences.