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Dears, could you please help to understand main difference between Sukuk and Mubaraha, as I see from articall
Sukuk
Typically, an issuer (bank) of the sukuk would acquire property and the property will generally be leased to tenants to generate income.Mubaraha
the bank buys the item and then sells it on to the customer on a deferred basis at a price that includes an agreed mark-up for profitIt looks like the same, could you please help to understand deeper this two instruments?
Thanks in advance)They are very different.
A sukuk is like investing in bonds. But instead of receiving interest each year, the issuer invest the money in an asset and the investors share the income from the asset.
A murabaha is the same as buying goods on credit, but instead of paying interest that is effectively built into the purchase price.
I do suggest that you watch my free lectures on Islamic finance. The lectures are a complete free course for Paper FM and cover everything needed to be able to pass the exam well.
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