Islamic Banking is a system based on the principles of Islamic Law or Syariah Law. Its core principle is the sharing of profit and loss and a prohibition of collecting ‘riba’ or interest. Islamic Banking introduces the concept of buying something on behalf of the borrower and selling back to the borrower at a profit in place of interest. Profit rates can be a fixed rate or floating rate like conventional financing.
No. The facilities are open to all persons, companies and entities irrespective of faith or race. There is no reason a non-Muslim cannot utilise Islamic Banking facilities should such facilities suit such party’s objective.