One Major Difference Between Conventional Microfinance and the Islamic Microfinance

question 85

True/False

One major difference between conventional microfinance and the Islamic microfinance framework is the prohibition of interest-bearing credit facilities and interest-yielding deposits.

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Definitions:

Mechanics' Lien

A legal claim against a property by construction workers, contractors, or suppliers for unpaid labor or materials.

Pennsylvania System

A penal system, also known as the separate system, developed in the 19th century, focusing on solitary confinement and individual penance as a form of rehabilitation.

General Contractor

A principal contractor who is responsible for the oversight of a construction project, managing subcontractors, and the coordination of the work on site.

Deed of Trust

A legal document that secures a real estate transaction by transferring the title of the property to a trustee until a loan is paid in full.