Why Choose Amanah Islamic Finance?

  • Only Australian Islamic Finance institution endorsed by Mufti Dr Muhammed Imran Usmani s/o Justice (ret) Sheikh Mufti Taqi Usmani
  • Amanah’s home finance products are modeled on the Islamic concept of Ijarah. Other products such as musharaka mutanaqisa have significant Australian tax consequences
  • Amanah meets the standards of globally recognised Shariah scholars whilst also complying with Australian laws and credit regulations
  • We are rigorous about ensuring the Shariah integrity of our products through Shariah audits and on-going testing
  • Our team is dedicated to excellent customer service
  • Our product features are unique

Why Is Ijarah the Preferred Contract?

The primary reason for this is that the economic outcome of Ijarah is more closely aligned to the reality of the underlying Australian commercial and regulatory context for such a financing.

It was concluded that other contracts such as the diminishing partnership based Musharaka Mutanaqisa (while permissible in itself) had economic outcomes which differed greatly from the actual substance of the home financing arrangement when implemented. In this regard, over a period of six months intensive product development was undertaken by Amanah in developing a product using the concept of Shirkatul Milk (another Musharaka model). The product when scrutinised produced economic consequences at odds with its intended Shariah outcome.

It is the view of Mufti Imran Usmani and Mufti Taqi Usmani that the minimum required amendments for a valid diminishing Musharaka product would not be possible given the

Australian regulatory and commercial environment.

For that reason Ijarah was preferred over diminishing Musharaka.