Find in Library

Agriculture is the most noteworthy source of food through which farmers augment food supply for themselves and others. Majority of these farmers in Pakistan, predominantly in the KPK, belong to the lower class and, as a result, are not in a position to bear out their basic agricultural wants. They borrow it, therefore, from various sources on interest basis including organizations, banks and other various financial institutions. However, these institutions offer loan facility on interest basis which is stringently prohibited by SharÊ‘ah for a Muslim farmer. Being a complete code of life, Islam gifts, as alternate, a comprehensive way for farmers and Islamic banks to enter into various commercial trade based transactions, feasible and worthwhile for all the stake holders. These transactions can be divided into MurÉbaÍah, Salam, and IstiÎnÉ‘. The theoretical part of the work is primarily based on qualitative research technique and, therefore, the theoretical part is entirely based on secondary data, derived from the work of Muslim scholars. A focussed group technique is used where the farmers and agricultural credit officers are interviewed regarding the proposed models. The testing of the proposed models proves that how the newly developed models are very much operable at ground level, having a potential to fulfil all farmers’ basic agricultural needs, both for crop and non-crop activities.