Throughout the long term, Islamic finance has developed at a quick pace comprehensively and is currently a market worth more than $3.5 trillion. It largely operates in Muslim nations and offers a profitable career there. Now, it has started to expand to the Western world as well to attract investments from the Gulf region or Muslim states in general.

This blog set out to clarify the five benefits that Islamic finance offers to the community. Let’s begin.

It Helps By Encouraging Monetary Incorporation

According to the World Bank, monetary or financial inclusion is ‘’Financial consideration implies that individuals and businesses have access to useful and affordable financial products and services that address their needs– transactions, payments, savings, credit, and insurance – delivered in a responsible and sustainable way.’ (, 2017).

The traditional banking framework depends on interest payments at a rate pre-set on the amounts of the deposited cash. Payment and receipt of my interest i.e. Riba are precluded under the Shariah Law, so Muslims keep away from banking. Notwithstanding, through Islamic banking, financial inclusion can be advanced and get a bigger pool of investment funds in the domestic and worldwide economy.

Diminishing The Effect Of Hazardous Items And Practices

Shariah standards deny any exchanges that help companies or exercises which are prohibited in Islam. For instance, usury (Interest), gambling, speculation, regardless of whether these are legitimate or not in the location of the exchange.

Rule Of Financial Justice

One of the prerequisites of Islamic finance is financial justice. It enables Islamic finance products to work in a way that’s been instructed by Shariah. The Western or traditional financial framework sees making revenue through interest-based transactions and makes the beneficiary subject to any kind of hazard. Islamic finance works on the sharing of profit and loss and risks engaged in an equal way.

Financial justice is an essential prerequisite for the working of Islamic finance items. As opposed to Western or traditional financial systems, Islamic financing is based on the sharing of net profit and loss and the risks associated with a corresponding way between the creditor and the debtor. Consequently, if an agent is anticipating a case on the profits of a project, it is fundamental that he/she ought to likewise convey a relative portion of the loss of that specific project.

Stabilizing The Investments

In Islamic finance, speculations are drawn nearer with a more slow, shrewd decision-making process, when contrasted with traditional finance. Organizations whose financial practices and projects involve a great amount of risk in them are typically avoided by Islamic financing organizations. By performing detailed audits and research analysis, Islamic finance supports the decrease of risk and makes the space for more prominent and stabilized investments.

Fastening Economic Growth And Development

Islamic finance organizations surely have profit creation and development as their goals. For which, they decide to put resources into businesses dependent on their potential for development and achievement. Along these lines in the Islamic banking industry, each bank will put resources into promising business opportunities and endeavor to vanquish its rivals, so as to pull in more investments from its investors. This will inevitably bring about an exceptional yield on ventures both for the bank and the investors. This is impossible in an ordinary traditional bank, where investors reclaim returns on their deposits dependent on a pre-set loan interest rate.

CIE, Center for Islamic economics is a renowned institution that offers a diploma in banking and finance and other specialized courses and workshops related to Islamic financial and economic practices. Check out our certification courses in banking on our course list.

Understanding Accountants And The Way They Work

Accounts and finance is a field that not everyone can work in. it is a field that requires love for numbers, dedication, and a lot of studying. Accountants spend years and years learning new things and perfecting their skills before becoming a seasoned accountant. Accountants and bankers are often underappreciated for the work they do. They manage all of our financials or us, they take care of all the financial transactions that happen in a business, they are constantly aware of how the market is going to react and warn their firm beforehand to help them take precautionary steps.

People usually assume that a banker’s job or an accountant’s job is boring and very predictable but that statement cannot be further from the truth. A job of an accountant or a banker is rather thrilling in a lot of ways. These finance-related jobs are not for everyone and the ones who have an interest in these things often find themselves excited over stock market numbers or the number of transactions. These guys have a passion for numbers. They have a special skill in communicating and interacting with numbers. To develop this skill these guys study for years and years taking different courses that helps them get better at many different forms of accounting and finance management such as finance management courses, bank managing courses, certificate course in Islamic banking takaful, etc.

Being an accountant is not for everyone, not all of us are made to look at and understand numbers all day and figure out what it means for a firm and that is why there are people who have these talents and expertise to help us out with these things. Without them, there would be no correct way to conduct business. It has taken us decades to perfect the system we have today and the people we should thank for such a development are accountants and bankers who devote their life to numbers and interpret them in simpler language for us. 

Educational institutes all around the world give different courses and classes on how to be a skilled and seasoned accountant. These courses and classes can help future accountants secure a much better job than their peers as they will have more experience than them. These courses help accountants in learning the law of accounting and banking and how to use them to their advantage. 

The fact is that in any business, people like to make money but keeping track of that money is completely different and most people aren’t interested in that part, without our willing accountants there would be no one to help us out with our financial problems and not everyone can understand numbers as they can. Without the help of accountants, all the money that hug corporations made is of no use whatsoever. With no one to keep track of all the money that giant corporations make, no one would be able to hold them accountable for what they do with their earnings, and similarly, without any accountants, people who earn their money won’t have anyone to turn to for financial advice. Accountants play a very important and distinctive role in our society and without them, our giant corporations and all the money they make would be of no use to almost anyone.

If you think you have the skills to become an accountant or if you’re interested in the field of finance management, try out the numerous courses that many educational institutes offer. If you can get the hang of it you might be on your way to becoming one of the great accountants of the future.