Islamic Financing & Treasury
Native support for all six Shariah-compliant financing structures with dedicated GL logic, profit-sharing mechanics, and Shariah validation workflows. Built for regulatory returns and AAOIFI standards.
Murabaha (Cost-Plus Financing)
Asset purchase financing with transparent markup disclosure
Asset Procurement Workflow
Bank purchases asset from supplier on behalf of customer with full procurement documentation
Transparent Markup Calculation
Clear disclosure of cost price, markup percentage, and total selling price with multi-currency support
Deferred Payment Structure
Flexible installment schedules with equal or reducing payments over contract term
GL Split Posting
Separate GL accounts for asset cost, markup income, and receivable with AAOIFI-compliant structure
Supplier Integration
Direct supplier payment with three-party contract documentation and delivery verification
Shariah Validation
Automated compliance checks ensuring asset ownership transfer and markup reasonability
Mudarabah (Profit-Sharing Partnership)
Investment partnership with capital provider and entrepreneur
Partnership Constitution
Define capital provider (Rabb-ul-Maal) and entrepreneur (Mudarib) with clear profit-sharing ratio
Capital Deployment Tracking
Monitor fund utilization with milestone-based disbursement and activity reporting
Profit Distribution Logic
Automated profit calculation and distribution based on pre-agreed ratio at contract maturity
Loss Allocation Rules
Capital loss borne by bank (Rabb-ul-Maal) unless due to Mudarib negligence or misconduct
Periodic Reporting
Quarterly financial statements from Mudarib with audited final accounts at contract end
Investment Pool Ledgers
Separate GL pools for restricted and unrestricted Mudarabah with investor profit allocation
Musharakah (Joint Venture Financing)
Equity partnership with shared capital and management
Joint Capital Contribution
Multi-party capital injection with percentage ownership and voting rights per partner
Diminishing Musharakah
Progressive ownership transfer as customer buys out bank's equity stake over time
Profit & Loss Sharing
Profit distribution by agreement; loss allocation strictly in proportion to capital contribution
Management Rights
Partner participation in business decisions with veto rights on major financial commitments
Exit Strategy Workflow
Pre-defined exit mechanisms including buyout, dissolution, or third-party sale with valuation rules
Equity Ledger Tracking
Real-time tracking of each partner's equity balance, profit share, and capital calls
Ijara (Shariah-Compliant Leasing)
Asset leasing with transfer or return options at term end
Operating & Finance Lease
Support for Ijara (operating lease) and Ijara Muntahia Bittamleek (lease-to-own) structures
Asset Registration
Bank ownership registration with depreciation schedule and residual value tracking
Rental Calculation Engine
Fixed or variable rental with market-linked indexation and scheduled rental reviews
Maintenance Obligations
Clear allocation of maintenance costs between lessor (bank) and lessee (customer) in contract
Early Termination Handling
Penalty-free termination with fair asset valuation and refund of advance rentals
Purchase Option at Maturity
End-of-term purchase at market value or pre-agreed nominal price for Muntahia Bittamleek
Salam & Istisna (Forward Contracts)
Agricultural advance purchase and manufacturing project finance
Salam (Agricultural Finance)
Advance payment for future crop delivery with quality and quantity specifications
Istisna (Manufacturing Finance)
Progress-based financing for asset construction with milestone delivery and inspection
Commodity Specification
Detailed description of deliverable goods including grade, quantity, delivery date, and location
Parallel Salam/Istisna
Back-to-back contracts with onward sale to third party for bank risk mitigation
Delivery & Inspection Workflow
Multi-stage delivery verification with quality checks and acceptance documentation
Inventory & Receivables GL
Pre-delivery inventory tracking and post-delivery receivable recognition per AAOIFI FAS
Treasury & Liquidity Management
Shariah-compliant liquidity and interbank operations
Sukuk Portfolio Management
Track sovereign and corporate Sukuk holdings with coupon accrual and maturity management
Commodity Murabaha (Tawarruq)
Short-term liquidity through commodity trading with Shariah-compliant metal brokers
Interbank Wakala Placements
Place surplus funds with Islamic banks as agent with agreed profit-sharing ratio
Central Bank Reserve Compliance
Automated reserve calculation and placement with central bank per regulatory liquidity ratios
Profit Rate Risk Hedging
Shariah-compliant hedging instruments for benchmark rate exposure management
Liquidity Coverage Ratio
Real-time LCR monitoring with HQLA classification and inflow/outflow projections
See Shariah Financing in Action
Schedule a personalized demo to see how TIKARI handles Murabaha, Mudarabah, Musharakah, Ijara, Salam, and Istisna financing with full AAOIFI compliance.