Murabaha: – It is a sale process for the purchase price plus a profit margin agreed upon between the buyer and the seller (selling with a known profit), where the bank intervenes as the first buyer for the supplier, and as a seller for the buyer (the customer).

Participation: This type of financing is based on the bank’s participation with one or more clients in a certain share in the capital of a specific project, according to a participation contract that includes the principles of distributing profit. As for the loss, it is distributed according to the share of each of them in the capital.

Mudaraba: It means that the bank, in its capacity as (the owner of the money), pays money to the client, in his capacity as the speculator, for the client to trade

Provided that the profit is shared between the bank and the client according to their agreement, while the loss is borne by the bank in its capacity as the owner of the money, provided that there is no negligence or transgression on the part of the speculating client, who loses his effort in this case.

In this regard, the bank will ensure, before financing, its ability and the client’s eligibility to carry out the work that is the subject of the Mudaraba, and that the Mudaraba capital and the share of the bank and the Mudarib client in the profit will be determined in a proportional fractional manner and not be a lump sum.