The adaptation of the financial sector to the religion of Islam has created the Islamic finance sector. Islamic finance has become popular especially after the 1990s and has created its own market in the world. Islamic finance carries out transactions by removing the concept of interest, which is forbidden from all transactions, in accordance with Islamic rules. In this area, money is considered only as a medium of exchange, so financial transactions are carried out on the basis of a purely partnership relationship. Due to Islamic rules, certain elements of the contract (subject of the contract, price, delivery, etc.) must also be determined in line with the Islamic finance principles. In this sector, the trade of non-halal products according to Islam is prohibited.

With the Banking Law No. 5411 published in the Official Gazette on November 1, 2005, Islamic Finance institutions were included in the banking legislation under the name of "Participation Bank". This involvement attracted Middle Eastern investors to our country and provided investments in sectors such as energy, real estate and insurance. Again, with the application of the basic principles envisaged in terms of international Islamic finance, different types of Islamic finance, banking and financing have emerged. Islamic financial instruments can be listed as Ijarah (rent), Istisna' (deferred payment, post-delivery), Mudaraba, Murabaha, Musharake, Qard (karz-i hazen), Salam (prepayment, delayed delivery), Sukuk Al Istitmar, Tavarruk, Wadi'ah (demand deposit) and Vakala (agency).

As the Bosphorus Legal Partners team, we provide consultancy services to our esteemed clients in all Islamic financing models, taking into account the legal framework regarding Islamic finance in Turkey in accordance with the principles of Islamic finance, and we represent our clients meticulously in mergers and acquisitions involving Islamic financial institutions.