Financial transactions
Riba
Halal and haram
Prohibitions and alternatives
Continuing the series, Seeking the Halal, the Ijarah contract is the fifth type of contract, based on Imam al-Ghazali’s categorisation in Ihya’ ‘Ulum al-Din, in Kitab al-Kasb (The Book of Lawful Earning). Imam al-Ghazali divided the subject of earnings into six main types of contracts, around which most forms of trade and business revolve. We have…
Istisnaʿ is a sale contract where a buyer (the mustasniʿ) requests a manufacturer or seller (saniʿ) to produce or construct a specific item according to agreed specifications, for an agreed price and delivery time. In the previous session, we mentioned that the salam contract originally began in an agricultural society. Farmers usually lacked cash…
Seeking halal earnings (part 6) – The Salam contract As part of our series on finance, we will look at one of the forms of contracts. In this, I am following Imam al-Ghazali, in his book Iḥyaʾ ʿUlum al-Din. He has a section that speaks about halal earnings, and under that he mentioned the common…
Surrogacy in Islam The issue of surrogacy has been considered by Islamic scholars. Within Shiʿa thought, some jurists view surrogacy as a form of assisted reproduction that can help couples struggling to conceive naturally. In contrast, the vast majority of Sunni scholars have ruled that surrogacy is entirely prohibited (haram) in Islam, and thus not…
Snakes in Islam Snakes are generally considered ḥarām (forbidden) to eat because they are predatory and harmful. However, clothing and leather rulings are not always the same as food rulings. Leather and tanning The Prophet ﷺ said: “Any hide that is tanned becomes pure.” (Sahih Muslim) Many scholars (especially in the Hanafi, Maliki, and Shafi’i…
The difference between conventional and Islamic mortgages For Muslims, one of the greatest financial challenges of our time, is purchasing a home without falling into riba (interest), which is strictly prohibited in Islam. Conventional mortgages are based on interest-bearing loans, while Islamic banks and financial institutions offer alternatives that aim to comply with Shariah. Among…
Core Principles Justice and fairness are the foundation of Islamic financial dealings. Riba is prohibited because it perpetuates oppression and exploitation. Money is a medium of exchange, not a commodity to be sold for profit. Trade involves risk and effort; charging for money itself without value addition is forbidden. Islam promotes economic balance, not extremes…
Collagen Collagen is the main structural protein found in animal tissues (skin, bones, cartilage). Collagen supplements are often taken for skin and joints and may also support hair, nails and gut health. It is typically consumed orally, as a gel or drink. Collagen derivatives can also be found in beauty products such as anti-ageing creams,…
Submission lies in not questioning Allah’s wisdom Ibn Abī al-‘Izz al-Ḥanafī (d.792) said: “The foundation of servitude (‘ubūdiyyah) and faith is submission.” Know that the foundation of servitude (‘ubūdiyyah) and faith (īmān) in Allah, His Books, and His Messengers rests upon submission (taslīm) and refraining from asking about the detailed wisdom behind the commands, prohibitions,…
Islam makes a clear distinction between ḥayḍ (menstrual bleeding) and istiḥāḍah (irregular or non-menstrual bleeding). If the bleeding is istiḥāḍah, even if it is very heavy, the rulings of menstruation do not apply. This means that prayer, fasting, and other acts of worship remain obligatory. Fāṭimah bint Abī Ḥubaysh (may Allah be pleased with her)…
Each and every one of us will one day meet with our death. Islam places great emphasis on the preparation for death and our journey to the next life. It is essential as Muslims that we study the spiritual and practical preparations for death to make our attitudes and actions in line with the Quran…
Can Tahajjud be combined with ‘Isha? Is it permissible to combine Tahajjud with the ‘Isha prayer, particularly in the summer when the window between ‘Isha and Fajr is short? The short answer is: no, Tahajjud cannot be prayed immediately after ‘Isha and still be considered true Tahajjud. This is because Tahajjud is defined as voluntary…
Is abortion permissible in Islam? Islamic law upholds two paramount concerns in the matter of abortion: the sanctity of foetal life and the preservation of the mother’s life. The Qur’ān explicitly prohibits unjust killing: وَلَا تَقْتُلُوا النَّفْسَ الِتِي حَرَّمَ اللهُ إِلَّا بِالْحَقِّ “And do not kill the soul which Allah has forbidden, except by right.”…
According to the majority of scholars: It is not permissible for a Zakat institution to take ownership of the Zakat for itself. The Zakat remains the property of the payer until it is delivered to one of the eight eligible categories mentioned in the verse: “Zakat expenditures are only for the poor and for the…
Foundations of halal earning: contracts in Islamic transactions On the subject of halal earning (al-kasb al-halal), we started by exploring one of the earliest works on the topic, written by Muhammad ibn al-Hasan al-Shaybani, a prominent student of Imam Abu Hanifah. He was a mujtahid in his own right and wrote a short yet…