Glossary

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There are 8 names in this directory beginning with the letter M.
Mal
Anything valuable which can be possessed, such as property.

Maslaha
The public good, towards which, under Shariah law, all commercial transactions should be geared.

Maysir
Games of chance or gambling.

Mu'amalat
A transaction related to an exchange of goods or services.

Mudaraba
Mudaraba is a partnership where one partner gives money to the other to invest in a commercial enterprise. The investment comes from the first partner who is called rabb-ul-mal, while the management and work is the exclusive responsibility of the other, who is called mudarib. The division of any profit is agreed in advance

Murabaha
Murabaha is a transaction in which the seller candidly reveals to the buyer the cost of the underlying commodity (as originally incurred by the seller), on the agreement that a specific amount of profit (mark-up) will be added thereto. In this sense, murabaha is not an interest-bearing loan; it is, rather, a sale of a commodity for cash/deferred price. Murabaha accounts for quite a large percentage of Islamic banks' business (60-70% of all financing transactions are conducted through murabaha).

Musawamah
To bargain on price, where the seller does not disclose the original cost of the goods.

Musharaka
An agreement where two or more parties (for example an Islamic bank and its clients) agree to contribute to the capital - in cash or in kind, no debt is accepted - of the partnership in equal or varying amounts to establish a new project or share in an existing one.