Halal investment is an investment that is compatible with Islamic law, as it avoids forbidden transactions such as usury, uncertainty, and projects that are forbidden by Sharia. Here are a set of rules that must be adhered to to ensure a halal investment:
1. Stay away from usury (interest) 🚫
Any investment that involves usurious interest is considered impermissible.
It must be ensured that the company or project does not rely on or provide interest-bearing loans.
2. Avoiding uncertainty (lack of transparency)
Gharar means ignorance or lack of clarity of details in a contract.
Contracts should be transparent and clearly define rights and obligations.
3. Stay away from prohibited sectors 🚷
Investing in companies that operate in prohibited industries, such as alcohol, gambling, or prohibited products, is not permitted.
4. Deal with companies with legitimate businesses 🏢
You must ensure that the company is based on permissible activities, such as agriculture, industry, or technology.
5. Purify profits if necessary.
If there are profits mixed with illegal money (such as bank interest), they are disposed of by donating them to charity.
6. Partnership or direct investment (instead of loans)
Sharia encourages partnership (mudarabah or musharakah) as an alternative to interest-bearing loans.
7. Respect the rules of Zakat 💰
Zakat is obligatory on money earned from investment, so it must be calculated and paid annually.
Examples of halal investment instruments:
1. Sharia-compliant stocks: such as companies that do not operate in prohibited sectors.
2. Islamic funds: investment funds that follow the principles of Sharia.
3. Digital currencies: provided that the legitimacy of the project and the technologies on which it relies are verified.
Tips for Muslim Investors:
Consult Sharia specialists and financial experts to determine the Sharia compliance of any investment.
Use filters such as “Halal Stock Index” or “Shariah Compliant Companies Screening” available in financial markets.
Have you invested in halal projects? Share your opinion with us!
Examples of these currencies $XRP
