Principles of Islamic Business Ethics
One of the biggest differences between Islamic banking and conventional western banking is the extent to which ethics play a role. In western banking, simply abiding by all essential legal guidelines and official regulations is seen as sufficient. For Muslims, adhering to a strong ethical code in all aspects of life – including business – is the duty of every follower of the faith. Which means that many important ethical principles of Islamic banking don’t necessarily fall under Shariah law. Nevertheless, they are considered just as important and unbreakable.
This insightful tutorial has been designed for anyone looking to build a career in Islamic banking and finance. Explore a definition of ethics in both business and general contexts, along with freedom of enterprise, the importance of legitimate earnings and the ethical value of fair dealings. Additional subtopics introduced include honesty and gentleness, prohibition of Najash and Khalabah, disclosure, transparency and facilitating inspection, fulfilling the covenants and paying liabilities, mutual cooperation and removal of hardship, free marketing and fair pricing, freedom from Dharar (detriment) and more.