Islamic banking refers to a system of banking or banking activity that is consistent with the principles of Islamic law and its practical application through the development of Islamic economics. Primary objective of this report is to describe on Overall Banking System of Al-Arafah Islami Bank Limited. Other objectives are present Islamic perspective of credit; observe the economic condition and explain the activities of foreign exchange of AIBL. Finally identify the problems of AIBL and suggest some possible recommendations to overcome the problems.
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