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Either-Or Option

An option (khiyar/ khayar) which entitles the buyer (in a contract of sale, aqd al-ba’i) to proceed with the contract...

Ijarah Sukuk

Ijarah sukuk (singular: ijarah sakk) are certificates of equal value which are issued by the owner of an existing property...

Sale of Usufruct

From the Arabic term "ba'i al-istighlal". According to latter-day Hanafi scholars, it is a type of sale (ba’i) in which...

Ijarah Thumma al-Ba’i

An agreement (ijarah) that incorporates the sale of the leased asset (in an ijarah contract) at the end of the...

Zero-Coupon Nontradable Sukuk

A sukuk issue in which the backing assets (i.e., the assets to be mobilized) don’t yet exist or are not...

Sale and Buy-Back

English for ba'i al-inah (also ba'i al-einah); a contract that involves the sale and buy back of an object (commodity,...

Debt Assignment

The transfer (assignment/ hawala) of debt from one party (the debt transferor, or muheel) to another (the payer, debt obligor...

Debt-Type Sukuk

A type of sukuk in which the underlying is in the form of debt (receivables, loans, etc.). An example of...

Equity-Type Sukuk

A type of sukuk in which the underlying is in the form of equity. Examples of equity-type sukuk include musharakah...

Tier-2 Capital Sukuk

A classification of sukuk that constitutes part of the second or supplementary layer of a bank's capital (core capital), which,...