ijara

ijara
ijara(h) is similar to a conventional finance lease. The financial institution leases an asset to a lessee in return for agreed rental payment. The terms of ijara leases differ from those found in a conventional finance lease because, in order to comply with Sharia, the financial institution takes on some of the commercial risks (such as damage to or loss of the asset) more usually associated with operating leases. Typically, the ijara will be proceeded by a transaction which gives the financier title to the asset, such as a sale or istisna'a.
+ ijara
Also known as ijarah.
International, USA
An Islamic finance technique used to finance the acquisition of assets on terms compliant with Sharia. In an ijara transaction, the financing party purchases property, equipment or other asset desired by its client and then leases it to the client for a rental fee (calculated by reference to a benchmark such as LIBOR). Some ijara transactions (ijara wa-iktina'a) give the client the right (but not the obligation) to purchase the asset at or before the end of the lease term.
Related links
istisna'a (construction or manufacturing financing)

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Игры ⚽ Нужен реферат?

Look at other dictionaries:

  • Ijara — is a town in the North Eastern Province of Kenya. It is second capital of the Ijara District. Ijara is a very remote town; it is located 100 km north of Lamu and 180 km south of Garissa.References …   Wikipedia

  • Ijara District — Basisdaten Einwohner  Bevölkerungsdichte 69.996 Einw. [1] 6 Einw./km² Fläche 11.332 km² Koordinaten …   Deutsch Wikipedia

  • ijara sukuk — International sukuk al ijara, Also known as ijara sukuk, are sukuk based on an underlying ijara structure. Certificates are issued by a special purpose vehicle that entitle the holders to an ownership interest and a right to a return in… …   Law dictionary

  • Ijara District — Ijara is an administrative district in the North Eastern Province of Kenya. On May 20, 2000, it was carved out from another and larger Garissa District. It covers an area of 11’332 km² and, according to the population census of 1999, has a… …   Wikipedia

  • ijara wa-iktina — (finance lease) This is a lease ijara where the financial institution buys an asset, leases the asset to a customer for a specific price and period, and then sells that asset to the customer for an agreed price at the end of the lease period.… …   Law dictionary

  • Ijara District — Admin ASC 2 Code Orig. name Ijara District Country and Admin Code KE.06.8299464 KE …   World countries Adminstrative division ASC I-II

  • sukuk al ijara — International sukuk al ijara, Also known as ijara sukuk, are sukuk based on an underlying ijara structure. Certificates are issued by a special purpose vehicle that entitle the holders to an ownership interest and a right to a return in… …   Law dictionary

  • sukuk al-ijara — International sukuk al ijara, Also known as ijara sukuk, are sukuk based on an underlying ijara structure. Certificates are issued by a special purpose vehicle that entitle the holders to an ownership interest and a right to a return in… …   Law dictionary

  • ijarah — ijara(h) is similar to a conventional finance lease. The financial institution leases an asset to a lessee in return for agreed rental payment. The terms of ijara leases differ from those found in a conventional finance lease because, in order to …   Law dictionary

  • Masalani — Masali may also refer to Masalani, Makueni District (another settlement in Kenya) Masalani …   Wikipedia

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”