Abstract

 

Over the past two decades, Islamic banking and financial products have exponentially grown at an accelerated pace and on a global scale.  Disputes involving applicable Sharī‘ah principles to financial transactions have also proliferated and have been considered by both secular and Islamic tribunals/courts. That said this article aims at disambiguating the doctrine of Al-Maqāsid Al- Shar’īyah (objectives/aims of Islamic law) as a fundamental concept of Islamic law and finance. It also aims at analyzing some of the general legal maxims and jurisprudential principles of Sharī‘ah law. The importance of the doctrine of Al-Maqāsid Al- Shar’īyah and the jurisprudential principles of Sharī‘ah law transcends the boundaries of Islamic finance transactions and represents a fundamental tenet that guides any conducive Ijtihad (diligent research) across all aspects of Islamic law. This doctrine defines the philosophy underlying Islamic norms and principles and is undoubtedly crucial for arbitral tribunals when confronted with questions of Islamic Sharī‘ah and when asked to make determinations based on applicable Islamic legal principles.