IslamicFinance.de

This study goes into the depth of a European bank which entirely practices interest-free banking for its saving and lending operations. The study shows that there are some similarities between JAK and Islamic banks but differences are many. One difference lies in the service offerings as JAK only deal with savings and lending and does not get involved in profit-loss sharing which is central to Islamic banking. Islamic banks can learn from JAK how to educate their customers so that business gets clear to them. By comparing with Islamic banking, the European bank management can have the idea how far they do Islamic banking and what is unique with their bank. The European bank management has to deal with new challenges how much they can grow of being a non-profit organization in the long run.