Islamic finance
The term ‘Islamic finance’ refers to a system of banking that is consistent with sharia law. In particular, interest is prohibited, as is investing in businesses considered unlawful, such as those which trade in pork or alcohol. Although Islamic finance was initially important predominantly to commercial firms with interests in the oil-rich countries of the Middle East, it is now a practice area in every major international firm. Banks, financial institutions, sovereigns and corporates worldwide still take a great interest in traditional Islamic finance markets such as Malaysia, the United Arab Emirates and Saudi Arabia, but there are also significant Islamic financial centres in London, Hong Kong and Singapore. This, combined with the growth of Islamic finance throughout Asia and Africa, is leading to an increased need for lawyers who understand Islamic finance.
