Current Islamic banking in Indonesia is experiencing a significant growth.Up to February 2013 the number of Islamic banks is as mush as 35 banks which consist of 11 Islamic banks and24 islamic busines units.This indicates that public interrest in Islamic banks is quite large and is projeected in comming years will continue to increase alonge with the increasing Moslems awareness of and needfor usury-free banks.In Islamic banking actvities any product will not be released from its contract. This study aims to determine the concept of contract inIslmc law principles used in islamic banking operations as well as the implementation of the murabaha contract in Islamic banking.