Introduction. Islamic banks appeared in the 1960s in response to the growth of the Muslim diaspora and the needs of believers in accordance with Sharia law. These banks do not offer interest rates, as this is considered a sin in Islam (Islam is a world religion based on faith in Allah Almighty.), and do not participate in activities that may be related to products prohibited in Islam, such as alcohol, pork or gambling.
Unlike traditional banks, they are based on the principles of Islamic law, known as Sharia. These principles regulate financial and economic relations in accordance with the teachings of the Quran and the Sunnah. Islamic banks offer their clients services that comply with Sharia law, which makes them attractive to many Muslims and not only.
The purpose of this work is to study the peculiarities of the functioning of Islamic banks and determine the prospects for their development in the Russian economy. 
Tasks: 
-To determine the advantages of Islamic banks over a classical (traditional) bank;
-To study the prospects for the development of Islamic banks in the Russian market
The main part. The number of Russian citizens who are Muslims is growing every year. At the moment, there are about 20 million people living in the Russian Federation who preach Islam. First of all, an Islamic bank is being introduced into the financial sector of the country where Muslims live.  The flow of migrants from Muslim countries in the territory of the Russian Federation also contributes to the growth of the percentage of citizens who profess Islam. According to experts, by 2050 Russia will become one of the countries in which the majority of the population professes Islam.
Islamic banks are financial institutions that provide their services in accordance with Sharia law.
The model of Islamic finance assumes strict adherence to the requirements of Sharia law. Let's list some of the basic rules.
1. It is prohibited to charge interest on margin transactions. Money should not be a commodity, but a medium of exchange. (The prohibition on interest is important in all traditional religions).
2. It is prohibited to conclude contracts that may not be executed due to unforeseen circumstances.
3. You should not repeatedly buy or sell financial instruments without significant information reasons
4. Do not shift all financial risks to customers. Financial institutions should be jointly and severally responsible.
5. They should not refuse to take risks without giving up remuneration for the financial resources provided;
6. Penalties should not be applied for late refunds.
7. Cannot sell other people's assets.
8. Cannot sell debt for another value; 
9. Cannot sell debt for debt.
10. It is possible to borrow funds only to create new non-financial assets.
11. Financial assets must have physically existing collateral.
12. Cannot finance non-halal business (related to alcohol, tobacco, pork or gambling). 
In our opinion, this list of prohibitions protects not only the interests of consumers of financial services, but also the established order in society.

The main terms used in Islamic banking are presented in the table.

The Term Value
Kardul Hasan is an interest-free loan received by small businesses from a bank. At the same time, it is forbidden to demand interest. The borrower has the right to make a voluntary payment to thank the financial institution.
Murabaha is a service similar to a loan. A financial institution allocates money for a certain purchase. Until the debtor pays off the entire loan, the goods will belong to the credit institution.
Takaful Insurance according to Islamic principles. The insurance contribution is sent to the insurance company. From this moment on, the condition applies that in case of force majeure, the money will be refunded.
Musharaka is a joint financing of an idea or business by several investors. Individuals and businesses are allowed to participate in this.
Mudaraba, the owner of the money, gives his funds to the bank, and the bank invests them in business development. The principles of profit distribution are discussed in advance. The consumer is aware of the field of investing money. In a conventional financial system, this scheme is called venture financing.
Riba Prohibition of loan interest, a pre-fixed interest rate, a pre-fixed interest rate received by one party without real economic activity to the detriment of the other party.
Haram is banning the financing of "prohibited" activities. For example, the production of alcoholic beverages.
Maysir is a ban on randomly generated income. For example, forward transactions.
Garar Prohibits transactions with an uncertain level of risk.

*Compiled by the author.

These principles allow Islamic banks to attract customers interested in financial services that correspond to their religious beliefs.
In 2100, Islamic banks will be opened in the Russian Federation in such cities as Moscow, St. Petersburg, Barnaul, Novosibirsk and other cities. This will be due in the future to the fact that in these territories, which were listed earlier, there will be a large population who will profess Islam. There will be two main religions in the territories of the Russian Federation: Christianity and Islam, since their ratio will be the same. The traditional banking system, which operates in countries such as the United States, France, Germany, Russia and many other Western countries, will cease to exist in 2100, since Islamic banks are immune to crises and sanctions, unlike the traditional system. 
To compare Islamic and traditional banks, it is necessary to consider the main differences between their principles of operation:
The absence of interest-bearing transactions in Islamic banks: instead of interest rates for the use of loans and deposits, these banks use profit-and-loss sharing mechanisms between borrowers and lenders.
Stricter requirements for transparency and fairness of transactions: Islamic banks are required to comply with the principles of Sharia and act in the interests of their customers.
Ban on speculative transactions in Islamic banks: they cannot participate in transactions related to prohibited goods such as alcohol, pork, weapons, etc.
Despite these differences, Islamic and traditional banks can cooperate in certain projects where their strengths complement each other.
The difference between classical and Islamic banking is as follows:
– Classical banking uses interest rates to reward customers for deposits and loans, while Islamic banks avoid interest rates in accordance with Sharia principles.
– Classical banks can mix “pure” and “unclean” funds, while Islamic banks try to avoid such mixing.
– Classical banks offer customized products and services, while Islamic banks focus on partner programs and joint venture.
– Classical banks structure their assets without taking into account Sharia law, while Islamic banks structure their assets in accordance with Sharia law.
Differences between classical and Islamic banking systems:
The classical banking system is the basis of the country's economy. But classical banking assumes the insolvency and responsibility of the client after signing the documents. Islamic banks are based on the separation of risk and profit. For some Russians, the principles of Islamic banking are associated only with religion or ritualism. But the principles of ethics and justice are embedded in Islamic banking.
The advantages of Islamic banks include:
Respect for the religious beliefs of customers: Most Muslims prefer to use Islamic banks to avoid interest-bearing transactions.
Favorable conditions for the development of small and medium-sized businesses: Interest-free loans and support from Islamic banks contribute to the development of entrepreneurship.
Financial products of Islamic banks can be used not only by clients who profess Islam, but also by those who belong to other faiths. The most important thing is that customers know the rules and regulations of Sharia, as the staff will not explain this, because Muslims know about these rules.
Prospects for the development of Islamic banks in the global and Russian markets
In the global market, Islamic banks have significant development potential, especially in countries with large Muslim populations such as India, Pakistan, Bangladesh, etc. However, for their successful development, they need to overcome a number of barriers, such as distrust of new financial products and services, as well as the lack of qualified specialists.
There are also prerequisites for the development of Islamic banks in Russia. Firstly, Russia is a multinational and multi-religious country, and many of its inhabitants adhere to Islam. Secondly, in recent years there has been an increase in interest in Islamic finance from Russian companies and investors. Thirdly, the Russian government supports the development of Islamic finance, which can contribute to the creation of favorable conditions for the development of Islamic banks.
An Islamic bank has been operating in Russia since September 1. This is a government experiment. It will begin in four regions - Tatarstan, Bashkiria, Chechnya and Dagestan. The pilot project will last two years. Then the Cabinet of Ministers will decide on its extension to the whole country. On August 4, 2023, Russian President Vladimir Putin signed a law on special regulation of partner financing in certain industries. This new legal act allows financial institutions to implement the principles of Islamic banking and operate in accordance with the norms of Islam.
Legal entities included in the relevant register of the Bank of Russia and members of a self-regulating professional organization will be able to provide partner financial services in accordance with Sharia law. Such legal entities will include credit and non-credit financial organizations (NFO). For other participants in the experiment, such as business partnerships and consumer cooperatives, the minimum amount of capital is set at 10 million after September 1, 2023 -15 million after January 1, 2024. 
Conclusion. Islamic banks are an important element of the global financial system and have significant development prospects. Their principles of operation, based on Sharia law, make them attractive to millions of customers.
Successful examples of the functioning of Islamic banks confirm their competitiveness and the ability to adapt to the conditions of different countries. But for the further development of Islamic banks, it is necessary to overcome such barriers as distrust on the part of customers and regulators, as well as the complexity of organization and regulation in accordance with Sharia law.