Al-Muqna

Al-Muqna is a term in Islamic finance referring to a transaction where a buyer purchases an asset and immediately resells it to another party at a different price, often used to facilitate certain financial arrangements compliant with Shariah law. This process helps structure financing without involving traditional interest-based lending, by ensuring the exchange is genuine and not a form of interest. It’s a way to provide liquidity or funding while adhering to Islamic principles that prohibit riba (interest) and ensure fairness and transparency in financial transactions.