(Specific Participation) A developed Islamic partnership contract format.

Abstract

Islamic banking has become one of the most important modern banking systems. Sharia scholars and Islamic economists are continuously striving to develop this industry, seeking solutions and formulas that are compatible with the provisions of Islamic Sharia, on the one hand, and meet modern banking and economic needs, on the other. However, it has become clear that most of the formulas used by Islamic banks and some conventional banks, particularly debt formulas, face numerous challenges and criticisms. The most important of these is that there is still a legal difference and a multiplicity of jurisprudential opinions regarding the permissibility of usury in these formulas. This is despite the fact that all Islamic banks focus and rely primarily on them, as they are less risky, short-term, and offer guaranteed profitability. As for some other basic formulas, including Musharaka and Mudharabah, although they are rooted in Sharia, they face practical implementation of modern banking. It is well known that Islamic banking is based on the Shari'a principle of "profit is equal to loss" (الغنم بالغرم) and "tax is equal to guarantee""الخراج بالضمان.  This principle is embodied in a practical, effective, and clear manner in the Musharaka formula and its various branches, as well as in absolute Mudaraba and restricted Mudaraba, given their direct and actual connection to real economic activity. However, these formulas (Musharaka and Mudaraba) are not largely compatible with the nature and basis of the work of conventional banks, which dominate the global economy in one way or another, and face numerous implementation difficulties. The research proposes a new and advanced idea for a Musharaka formula based on the "Anan" partnership, which the researcher calls "Musharaka Mohadada." This formula overcomes operational and practical problems by participating in implementing traditional banking requirements in accordance with Shari'a rules and regulations. The basis for using Specified Musharaka lies in ensuring the absence of the primary prohibitive element (usury) in transactions by undermining the foundations of usury or unlawful interest. This is the same foundation for the use of interest rates in modern banking transactions.