Publisher's Synopsis
The research examines the contract of Alistinaa which has been used to avoid usury funding. The research investigates the developmental impacts of using this form of finance that can provide industrial sectors with funding. The research throw slight on the threats of Alistinaa in an attempt to provide appropriate solution that face this form of contract. The analytical descriptive and analytical statistical methodologies have been used by the researcher to conduct field study. Alistisnaa is a sale contract based on guarantee. It has permissible, legitimate and autonomous contract. Alistisnaa has been annexed to bidding in Arab positive laws. It requires two parties when making the contract. Debated-sales which are not present during contracting based on guarantee stated in the formula of Alistinaa which stipulates penalty condition. Islamic banking institutions are committed to follow Islamic principles and legislations that organize transactions. They provide excellent services to the community. The third attempt to establish four Islamic Banks has succeeded in 1996. Alistisnaa industrial funding has been used to provide support to industrial, agricultural, animals, fish sectors and roads construction. This experience of Islamic banking systems can be introduced in economic projects to cover budget deficiency in the state financial status. Despite the fact that Alistisnaa faces some constraints which can be contained by adopt the appropriate measures. The concept of development in Islam differs from the capitalism or socialism. Capitalism system is based on individual at the expense of the community. Where as socialism concentrates on the community and neglects the individual. Islam emphasizes the equilibrium between the two extremes. It concentrates on physical and moral perspectives. 35.1% is the total Islamic bank assets and 29.7% of the total deposits. Islamic banks funding amounts to 42.4% of the total finance volume granted by Yemen banking institutions. The findings of field study have confirmed the validity of research hypothesis: Islamic banking system can apply Alistisnaa to finance several fields. It has been proved that Alistisnaa has positive impacts on development and investment in Islamic banks. It is worth mentioning that there are some constraints that hinder Alistinsnaa yet, it is possible to find solutions to face these difficulties.
