In Murabaha, banks use public funds to acquire private property and this is not justified. But in Musharakah Mutanaqisa, they use deposit to buy 90% ownership. In this case are public funds and deposit the same?
Broadly, public funds could mean all financial support given to the public by the Government especially those who are on the lower strata of the society.
In this case, public funds is about how deposits of the public is being used by Islamic banks to create more money out of thin air. However, in the case of Musharaka Mutanaqisah, it isn't the case.< Back to Questions