The Framework of Maqasid al-Shari'ah and its Implication for Islamic Finance

Abstract

This article aims at examining the concept of maqasid al-shari'ah of Islamic jurisprudence in order to appreciate its contribution toward more comprehensive, rational and realistic answers to contemporary financial issues and thereby to increase the awareness of the maqasid approach in structuring and developing Islamic finance products. For this purpose, the authors examine the literal and conceptual meaning of maqasid al-shari'ah and scrutinise its position in Islamic law. They also highlight the essential elements of maqasid al-shari'ah and explain how this approach may contribute to better solutions for various Islamic finance issues and challenges.