Islamic Agro Financing in Islamic Banking Institutions

by Muhammad Ridhwan Ab. Aziz & Muhammad Mohamad Yusof

Publisher - Penerbit USIM

Category - Finance & Investments

The main aim of Islamic financing in agriculture is to finance agriculture-based projects among agro-entrepreneurs. However, there are several risks to be faced by agro-entrepreneurs in their agro projects which may force them to accommodate possible loss from effect of the risks using the same funding. Both agropreneurs and banking institutions are increasingly seeking effective and sustainable strategies and approaches to mitigate, transfer or cope with these inherent risks. Due to these reasons, this research book propose the best agro financing mechanism for agropreneurs which is both able to evade risks minimally and shariah-compliant.

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