Many Islamic financial institutions and investment companies in Kuwait have used and continue to use Shariah compliant financing methods including murabaha, bay bithamanajil, ijarah, musharaka and istisna. The previously mentioned instruments ensure that those seeking alternatives to conventional financing have an opportunity to use these Shariah compliant methods, allowing them to avoid exposure to riba (interest). As many already know, any form of riba is prohibited under the principles of Islamic Shariah. 

More recently, customers now have the opportunity, using the global commodity markets, to open direct investment deposits (“DI Deposit”) with Shariah compliant banks. When completing a DI Deposit,  the following procedures are followed: 

• The customer informs the bank of the customer's specific investment objectives and appoints the bank as an agent to purchase commodities on the customer's behalf for the value of his or her investment amount (i.e. thedeposit).