مرابحہ اور مساومہ بطورِ تمویل: اسلامی اور روایتی بینکنگ کا تقابلی مطالعہ

MURĀBAḤAH AND MUSĀWAMAH AS MODES OF FINANCING: A COMPARATIVE STUDY OF ISLAMIC AND CONVENTIONAL BANKING PRACTICES

Abstract

This study undertakes a critical and comparative analysis of Murābaḥah and Musāwamah as modes of financing within the broader discourse of Islamic and conventional banking. The research aims to examine how these two classical Islamic contractual forms—rooted in the Qur’ānic principles of trade (bayʿ) and the prohibition of ribā (usury)—are applied in contemporary Islamic financial institutions, and how their operational mechanisms differ fundamentally from interest-based transactions practiced in conventional banks. Using a comparative-analytical methodology, the paper explores the jurisprudential foundations of Murābaḥah (cost-plus sale with disclosed profit) and Musāwamah (sale without disclosure of cost price), analyzing their implementation in Pakistani Islamic banks. It evaluates whether these financing modes genuinely reflect Sharīʿah objectives (maqāṣid al-sharīʿah), particularly in ensuring risk-sharing, transparency, and real asset linkage, or whether they risk becoming form over substance in practical execution. The research further contrasts these Islamic models with conventional credit-based financing, emphasizing differences in contractual intent, ownership transfer, and ethical orientation. It also discusses regulatory supervision by the State Bank of Pakistan, the role of Sharīʿah Supervisory Boards, and the compliance criteria set by AAOIFI and IFSB standards. Ultimately, the study concludes that while Murābaḥah and Musāwamah offer viable Sharīʿah-compliant alternatives to conventional interest-bearing loans, their efficacy depends on strict adherence to transactional integrity, genuine asset trading, and risk exposure in line with Islamic economic philosophy. True Islamization of finance, therefore, requires moving beyond formal Sharīʿah compliance toward a value-based transformation that upholds justice, equity, and social welfare in financial dealings.