An Analytical Study Of Ijarah As A Mode Of Finance In Islam

Abstract

This research paper is grounded on the Sharia status of “Ijarah (leasing)”.  Ijarah mean giving something on rent. In ancient times, civilizations, as well as things, were very limited. Hence leasing of goods was on a very limited scale.  In this regard, a few examples of houses, camels, horses, utensils, etc. are present in the books of former scholars. In the current industrial era where vehicles, ships,  machines,  factories,  bridges,  buildings, and even government projects inside the countries or with other countries can be included in leasing. This research article has been compiled to address the important of this issue, its literary meaning, various terminologies used for Ijarah as well as its justification/ non-justification described by the scholars has been reported with research based arguments.  Also, after thorough discussion whether “Ijarah” is a deal or promise, its terms and conditions are also discussed. At the end, types of Leasing and its results/conclusion has been discussed.