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INTEREST IN ISLAMIC FINANCE

Robin Matthews Kingston Business School
R.Matthews@kingston.ac.uk

Issam Tlemsani Kingston Business School
I.Tlemsani@kingston.ac.uk

ABSTRACT

This paper concerned with the issues of interest which is a focal point in connection with the deference behaviour in Islamic and Western banking systems. We discuss the linguistic root of the word Riba, the ambiguities arising from translation, commonalities between the western and Islamic approaches and outline a potentially stabilising risk sharing (PLS) model.

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