Abstract
The rate of farmers who participate in Agricultural Credit programs make up 5% -10% of the farming community of Muslims which is modest when compared to the number of workers in agriculture where most of them are small of farmers in need of capital, but because they forbid dealing benefit (RIBA),they do not benefit of the essential services provided by agricultural banks, which accordingly affects the amount of agricultural production, so included hypothesis search that there are Islamic banks exercised their operations according to the Islamic law and that there are included hypothesis formulas Islamic search alternative to interest rate can be adopted in dealing with farmers in the agricultural banks in Iraq, but in order to prove this hypothesis simulation method had been using through use Alqther Alhasan formula when disbursement of agricultural loans which showed that there was an increase in the quantity of agricultural production if this formula was used, time series for the period 1970-2010 for loans disbursed and the amount of agricultural production in Iraq had been taken.