Istisna

This is a contractual agreement for manufacturing goods and commodities, allowing cash payment in advance and future delivery or a future payment and future delivery. A manufacturer or builder agrees to produce or build a well-described good or building at a given price on a given date in the future. The price can be paid in instalments, step by step as agreed between the parties. Istisna can be used for providing the facility for financing the manufacture or construction of houses, plants, projects and building of bridges, roads and highways.