ABSTRACT
Besides Islamic countries, a handsome number of non-Islamic countries throughout the world use Islamic finance as a distinct approach of finance where Islamic Shari'ah acts as the pivotal guiding element. Shari'ah is an Arabic word which refers to Law of Allah used as religious precepts of Islam. Every aspect of a Muslim's life is required to be conducted as per Shari'ah. The Islamic banking sector of Bangladesh consists of full-fledged Islamic banks, Islamic banking branches of conventional banks, and Islamic banking counters or windows of conventional banks. Full-fledged Islamic banks refer to the institutions where all the products and activities are offered in such a way that complies with the Islamic Shari'ah. Bangladesh is prevailed to have its own Islamic bank as the first Islamic bank in the name of Islami Bank Bangladesh Ltd., which started its operation in 1983.
