Islamic bankingAccording to the Islamic doctrines in finance and business, paying or charging interest is prohibited. Further speculation and excessive risk-taking are not allowed. Companies complying with Islamic finance principles avoid investing in business fields such as producing and selling pork and alcoholic products. On the other side, investments according to Islamic finance principles encourage the sharing of profits and losses either through a partnership and joint venture or through a leasing agreement.
The Kingdom of Saudi Arabia held around a quarter of the global Islamic banking assets in 2019, right behind the Islamic Republic of Iran. At the same time, Saudi Arabia controlled 38 percent of the majority of the global Islamic fund assets. Over 40 percent of Islamic funds consist of equity, followed by the money market at around 25 percent.