Khalilova Nilufar Akhmatovna,
Andijan Branch of Kokand University
Andijan, Uzbekistan
Abstract. This article provides a comprehensive analysis of Islamic banking productsparticularly Salam and Istisna contracts their significance in financing agriculture, their
theoretical foundations, and their application in foreign countries. The study employed comparative analysis, systematization, and case study methods, examining the practices of countries such as Pakistan, Sudan, the UAE, and Malaysia.
The findings indicate that the MAP and BOS models developed in Pakistan help reduce risks for banks and create opportunities for financing small-scale farmers. In Sudan, the Al-Baraka
Bank has widely implemented direct Salam contracts, enabling farmers to obtain advance financing; however, challenges related to natural risks and ensuring product quality remain. In the
UAE, the “Al Islami Salam Finance” service introduced by Dubai Islamic Bank has served as an innovative approach in both personal and corporate financing, proving effective in streamlining
documentation and delivery processes. In Malaysia, Salam contracts are applied through Agrobank to finance farmers, while Istisna contracts are utilized in infrastructure and agro-industrial projects. The analysis demonstrates that these contracts expand access to financial resources for farmers, diversify risks for banks, ensure sustainable development in agriculture, and strengthen national food security. Moreover, the use of digital technologies can simplify documentation and monitoring processes.Based on these experiences, it is proposed to introduce a Salam-based financing model in Uzbekistan. This model, adapted to national conditions, could regulate cooperation among banks,farmers, and the state, ensure financial stability in the agro-industrial sector, and integrate effectively with the ongoing digital transformation process