The Engineering of Bai’ Bithaman Ajil (BBA) Product For Housing Financing: An Analysis From The Maqasid Al-Shari‘ah Perspective

Abstract

The study is to review the implementation of Bai’ Bithaman Ajil (BBA) Home Financing instruments as practiced in Malaysia which conformity with the objectives of Shari‘ah (Maqasid alShari‘ah). The data design has been gathered from different articles, books and reports about the BBA Home Financing instruments in Malaysia. The study found that it is an important to understanding of the maqasid al-Shari‘ah at every level of a contract involving parties to a sale and purchase in Bai’ Bithaman Ajil (BBA) Home Financing instruments in order to ensure the well-being and welfare of mankind (maslahah; Pl. masalih), both in this world and the hereafter. The paper shows that a a contract in Islamic Home Financing would assisting the Shari‘ah scholars producing more appropriate ijtihad in Islamic banking and finance products matters with understanding of the maqasid al-Shari‘ah.