RESEARCH REVIEW OF PROBLEMS IN SPONSORSHIP AND ADVOCACY IN CURRENT ISLAMIC BANKING

Abstract

Since the beginning of banking, only conventional banking system was prevalent in the world which was based on interest system and 30 years ago today Islamic banking was introduced and efforts were made to abolish the interest-based banking system. In contrast, the principles of Islamic economics introduced by the trades of Islam should be introduced in the banking system, as in the case of Islamic trade hood, there is Mudaraba, Musharaka, Murabaha, Ijara, Slim, Istisna and Kafalat waWakalat.The prevailing Islamic banking is a new economic system in Pakistan which has the problems of many eminent scholars. Some of these problems are related to sponsorship, which are intended to explain whether the above-mentioned problems are related to sponsorship and what is their scientific basis. In general, the concept of Islamic banking among the people is only the establishment of an interest-free economy, although the procedure of trade hood must also be in accordance with the Sharia's. Therefore, the purpose of this article is to review all these problems.