The Wisdom of Prohibiting Interest

Islam permits increase in capital through trade. Allah — The most merciful- says, “O you who believe, do not consume your property among yourselves wrongfully, but let there be trade by mutual consent...” (4:29). At the same time, Islam blocks the way for anyone who tries to increase his capital through lending on usury or interest (riba), whether it is at a low or a high rate, reprimanding the Jews for taking usury, even though they had been prohibited to do so. Among the last revelations are the following verses of Surah al-Baqarah: “O you who believe, fear Allah and give up what remains due to you of interest if you are indeed Believers. And if you do not, then be warned of war (against you) by Allah and His Messenger, while if you repent you shall have your capital. Do not do wrong and you shall not be wronged.” (2:278-279) The Prophet -Peace be on him- declared war on usury and those who deal in it; he pointed out its dangers to society, saying, “When usury and fornication appear in a community, the people of that community render themselves deserving of the punishment of Allah.” Among the revealed religions*, Judaism, prior to Islam, had also prohibited interest. In the Old Testament we read, “If you lend money to any of My people with you who is poor, you shall not be to him as a creditor, neither shall you require interest from him.” (Ex. 22:25). As for Christianity, the Gospel according to Luke reads, “Give away to every one who begs of you, and of him who takes away from your goods, do not demand them back again.” (Luke 6:30). It is, therefore, sad to see that the Old Testament has been subjected to such distortions that the meaning of "My people," which originally had a broader application, later became restricted to the Jews alone, as we read in Deuteronomy, You may lend on interest to a foreigner, but to your brother you shall not lend on inters". (Deut. 23:20) ______________

* According to the Qur'an there has been only one true, authentic faith, Al-Islam. Islam means the attainment of peace through conscientious and loving submission to the Will and Guidance of Allah. This was the mission of all Prophets and Messengers in human history. It is the same fundamental faith, which was revealed to Moses, Jesus, and Muhammad -Peace be upon them-. The original revelations given to Moses and Jesus are no longer available in their complete, original and unaltered form. The Qur'an is the only divine revelation which was meticulously preserved in it's complete, original, and unadulterated form. As such, it is to be used as the criterion to judge the authenticity of the present forms of previous revelations.


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