Search
Generic filters
Filter by Categories
Accounting
Banking

Islamic Finance




Ghobn Fahish


An excessive profiteering in which the seller intentionally deceives the buyer by stating explicitly or implicitly that the sale price of the underlying commodity is the real market price. However, in this situation the seller does actually charge an exorbitant price, whereby exploiting the lack of knowledge (the state of asymmetric information) on the part of the buyer. Shari’a gives a buyer exposed to ghobn fahish the option to revoke the sale and redeem the price (thaman) paid (this option is termed “khiyar al-ghobn“.



ABC
The last three decades have witnessed the modern rebirth of Islamic finance both in terms of literature and practice. Islamic banks and ...
Watch on Youtube
Remember to read our privacy policy before submission of your comments or any suggestions. Please keep comments relevant, respectful, and as much concise as possible. By commenting you are required to follow our community guidelines.

Comments


    Leave Your Comment

    Your email address will not be published.*