From Usatoday.com: Islamic banking is gaining popularity in emerging markets after helping some financial institutions avoid the worst of the economic meltdown. In its simplest form, Islamic banking requires that financial products — from mortgages to savings accounts — be structured to comply with sharia law under the Quran.
Sharia law restricts rates and encourages clear terms, which means that under an Islamic home financing, banks can’t charge interest, but may buy the property outright and lease it back to the consumer for a set amount each month……………………………………….Full Article: Source