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Home > QFINANCE Dictionary > Definition of nominal price

Definition of

nominal price

Operations & Production

price disregarding value the price of an item being sold when the price is lower than the full value

Recommended Further Reading (Term count)
  • Islamic Modes of Finance and the Role of Sukuk
    by Abdel-Rahman Yousri Ahmad
    Broadly speaking, Islamic modes of finance can be divided into two types: either they provide direct finance as capital funds through partnership (musharaka and mudaraba), or they provide indirect finance through leasing (ijara) and sale contracts (murabaha, bai ajil, salam, and istisna). All modes are based on the principle of riba (interest) prohibition, and all seek to maintain Islamic business ethics (freedom and leniency of transactions,...
nominal price - Related Articles
  • Islamic Modes of Finance and the Role of Sukuk

    Best Practice

    ijara muntahia bittamleek implies a promise on the part of one party—namely the bank—to gift or to sell the leased asset at a nominal price to the lessee by the end of the leasing term. Ijara muntahia bittamleek has opened the door for successful leasing activities by the Islamic banks, particularly
    By Abdel-Rahman Yousri Ahmad

  • Mixflation

    Best Practice

    The Bank of Japan, wrestling with deflation for a decade, does not fit neatly into this framework, but can perhaps be described as nominally targeting price stability while de facto targeting an exchange rate characterized by long phases of depreciation or (more recently) stability, punctuated by occasional
    By Giles Keating

  • The Role of the Global Property Markets Since the Crash


    It seems to us that these commentators are not looking closely enough at the data. We did quite a bit of work in this area a year ago, and the results did not support the idea of a bubble. Of course, there is good evidence to show that the average nominal growth in house prices in China has been significantly ahead of inflation for the last decade, with the year-on-year average increase being 5
    By Hans Vrensen


Definitions of ’nominal price’ and meaning of ’nominal price’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’nominal price’ and other financial terms with our online QFINANCE Financial Dictionary.

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