In Luxembourg, Islamic mortgage aims to offer a halal financing solution to Luxembourger Muslims and non-Muslims living in Luxembourg who wish in the context of Islamic sharia to use Islamic financial products in in Luxembourg.
Luxembourg was one of the first countries in continental Europe to take an active interest in Islamic finance. A significant number of public and private initiatives have helped to accommodate this alternative finance by raising, in particular, certain uncertainties as to the legal and fiscal treatment of certain compatible Sharia structures.
Luxembourg is the second largest global hub for funds and host of the world's leading securities exchange, and is now a key centre for the development of Islamic finance in Europe
Luxembourg is one of the first countries in the non-Muslim world with the United Kingdom to have introduced Islamic finance in Europe by making this ethical financial product a real niche for halal banking investment.
In the Duchy of Luxembourg many Islamic finance banks are now active mainly in the field of Islamic savings but also in the important area of Islamic project financing.