---
title: "What is Ijarah mawsufah fi al-dhimmah (forward lease)? | IslamicOpenFinance™"
description: "A forward lease of an asset described by specifications, with use starting on a future date once it is delivered."
url: https://islamicopenfinance.com/glossary/ijarah-mawsufah-fi-dhimmah/
lang: en-GB
source: "IslamicOpenFinance"
---

[Glossary](https://islamicopenfinance.com/glossary/) / [Lease, agency and service contracts](https://islamicopenfinance.com/glossary/#lease)

Lease, agency and service contracts

# Ijarah mawsufah fi al-dhimmah (forward lease)

A forward lease of an asset described by specifications, with use starting on a future date once it is delivered.

Ijarah mawsufah fi al-dhimmah is a lease of an asset described by agreed specifications rather than an identified existing asset, with the usufruct delivered on a future date. Bank Negara Malaysia defines it as an ijarah that transfers ownership of a usufruct for a specified future duration, based on specifications agreed at inception. It is used to finance assets under construction, such as homes and infrastructure, often alongside istisna.

## Sources

- [Bank Negara Malaysia, Shariah Contract Framework discussion paper, 2024: Glossary, Ijarah Mawsufah fi Zimmah](https://www.bnm.gov.my/documents/20124/938039/dp-shariah-contract-nov24.pdf)

This entry explains a term; it is not a Shariah ruling. Approving a product is for each institution's own Shariah board and regulator.

## Related terms

[**Ijarah** A lease: the lessor owns the asset and sells its use for an agreed rent over an agreed period.](https://islamicopenfinance.com/glossary/ijarah/) [**Istisna** A contract to manufacture or build a specified asset for delivery on a set date, with the price paid in stages or as a lump sum.](https://islamicopenfinance.com/glossary/istisna/) [**Ijarah muntahia bittamleek** A lease that ends with ownership passing to the lessee, through a separate sale or gift promised by the lessor.](https://islamicopenfinance.com/glossary/ijarah-muntahia-bittamleek/)

**Lease, agency and service contracts**

1. [Ijarah](https://islamicopenfinance.com/glossary/ijarah/)
2. [Ijarah muntahia bittamleek](https://islamicopenfinance.com/glossary/ijarah-muntahia-bittamleek/)
3. [Wakalah](https://islamicopenfinance.com/glossary/wakalah/)
4. [Kafalah](https://islamicopenfinance.com/glossary/kafalah/)
5. [Hawalah](https://islamicopenfinance.com/glossary/hawalah/)
6. [Ju'alah](https://islamicopenfinance.com/glossary/jualah/)
7. [Rahn](https://islamicopenfinance.com/glossary/rahn/)
8. [Ijarah of services](https://islamicopenfinance.com/glossary/ijarah-of-services/)

[All 221 terms](https://islamicopenfinance.com/glossary/)