Islamic Financial Institutions are organizations that provide financial services in accordance with Islamic law, or Sharia. They operate on principles that prohibit interest (riba) and promote risk-sharing, ethical investments, and social justice. Common products include Murabaha (cost-plus financing) and Mudarabah (profit-sharing agreements). These institutions aim to foster economic development while adhering to Islamic values. They serve individuals and businesses by offering services like banking, insurance (Takaful), and investment management. By focusing on ethical practices, Islamic Financial Institutions contribute to a more equitable financial system that aligns with the beliefs of their clients.