How mudaraba application would enhance economic prosperity


Assignment Task: Mini-report

Instructions:

Please answer the following two questions and make sure:

1. You use your own words in the answer and none of your content is plagiarized

2. Make sure you don't share your answers with a tone as that might jeopardize your grade

3. Make sure you meet the deadline

QUESTION 1: A relative of yours had a frank discussion with you about the Idea of Islamic banking.

After a lengthy and heated debate, they openly share with you their strong views on the concept of Islamic banking and its practicality and tell you the following:

Honestly speaking, I don't believe in the idea itself because of the following reasons:

1. It is just a copy paste of conventional finance or in other words, it is a conventional finance in Islamic costume.

2. Equity -based Islamic financial contracts such as Mudaraba and Musharaka are not practical and can't be applied by Islamic banks which defeats the objective

3. Islamic banks are purely profit-oriented and do not do well on the corporate social responsibility front

How would you respond to them? Please tackle each point separately

QUESTION 2: Explain how Mudaraba application would enhance economic prosperity for everybody and why its application by Islamic banks is minimal.

Attachment:- Mini-report.rar

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