Executing back to back interest free loan

By |2023-03-27T09:03:56+00:00September 16th, 2020|Fatwas, Islamic banking and finance|

A bank wishes to borrow from another bank an amount in US dollar. The other bank agrees with the condition that, the first bank lends them another amount, in Euro currency. Is this permissible? There are four opinions regarding the execution of back to back loans: According to the four schools of jurisprudence, this sort [...]