Islam prohibits Riba which roughly translates to usury or unjust gains. While today it's widely believed to mean all forms of interest, that wasn't always the case. Even Caliph Umar was of the opinion that the definition of riba was ambiguous.
The bulk of Islamic finance today involves structuring financing arrangements that are functionally equivalent to interest bearing loans but let everyone pretend otherwise.
Islam prohibits Riba which roughly translates to usury or unjust gains. While today it's widely believed to mean all forms of interest, that wasn't always the case. Even Caliph Umar was of the opinion that the definition of riba was ambiguous.
The bulk of Islamic finance today involves structuring financing arrangements that are functionally equivalent to interest bearing loans but let everyone pretend otherwise.