Murabaha Calculator

Sharia-compliant cost-plus financing — the bank buys the asset and resells it to you at an agreed markup, payable in fixed monthly installments. No riba; markup is embedded in the sale price upfront.

Inputs

Asset cost (what the bank pays)

Total markup over tenure

Percentage of asset cost added to the sale price.

Tenure

yrs

Down payment

Result

Monthly installment

$2,166.67

Over 5 years (60 payments)

Sale & financing structure

Asset cost (bank pays)$100,000

Markup (bank's profit)$30,000

Total sale price (you owe)$130,000

Down payment$0

Principal financed$130,000

Total you'll pay$130,000

Transparency comparison (NOT an interest charge)

Effective APR equivalent11.40%

The effective APR is the annualised IRR of your cashflow stream — it answers "what conventional loan rate would produce the same payment?". This is a transparency disclosure required by some regulators (e.g. UAE Central Bank), NOT an interest charge. Murabaha is a sale contract; the markup is fixed at signing and cannot increase on default.

Same deterministic math runs as a Python package, an MCP server for AI agents, and on this page. No API keys, no network — pure stdlib.

$ pip install calcnook $ uvx calcnook-mcp

>>> from calcnook.core.islamic.murabaha import calculate
>>> r = calculate(100_000, 30.0, 5)
>>> round(r.monthly_installment, 2)
2166.67