Islamic Banking in India

Islamic banking is an investment and financing concept which is gaining its importance. People are becoming aware of the Islamic banking and it is different from conventional banking in most aspects, since it is closely connected to the religion.

Islamic banking is the interest free banking in which there is no fixed rate of return. Islamic banking is the banking system which is run in accordance with the Islamic law and the sharia a board that guides the institutions.

This study is an attempt to understand the awareness & attitude of Indians towards Islamic banking & it also helps us to identify the major areas of growth & challenges in Islamic finance in India.

This paper focus on the conceptual framework of Islamic banking & it also throw light on the Islamic law & governing principles. The data is retrieved via secondary source constituting journals, research articles, Websites, etc. The main objectives are: To understand the Islamic banking, to discuss the modes of financing in Islamic banking. To study the recommendations of various committees including Raghuram Rajan for introduction of Islamic banking in India.