Grasping Ribā: The Prohibition of Usury in Islam
Ribā, or usury, is a significant term in Islamic economics and jurisprudence, representing the undue gain received from loans or credit transactions. The word “ribā” (ربا) in Arabic stems from the root “r-b-w” or “r-b-a,” meaning “to grow” or “to increase.” This idea of undue growth or increase, particularly through unfair or unethical means, underpins its prohibition in Islam.
Etymology and Definition
- Arabic: ربا (ribā)
- Root: ر ب ا (r-b-a)
- Definition: Any excess or surplus over and above the Principal, typically involving interest on loans or prohibited gain in trading during transactions.
Theological Context
Prohibition of ribā is anchored in key religious texts pointing out ethical and compassionate considerations in commerce:
The Qur’an:
“Those who devour usury will not stand except as stands one whom Satan has driven to madness by (his) touch. That is because they say: ‘Trade is just like usury,’ but Allah has permitted trade and has forbidden usury.”
- Surah Al-Baqarah, 2:275
Hadith:
“Cursed is the one who accepts usury, the one who pays it, the one who records it, and the two witnesses to it.”
- Ṣaḥīḥ Muslim, Bābu ʾr-Ribaʾ
These foundations contribute to the understanding and enforcement of economic justice in Islamic societies.
Cultural and Jurisprudential Perspectives
Schools of Thought
Hanafi and Maliki Schools: Focus on prohibition on gain that occurs strictly through passage of time without any intervening economic activity.
Shafi’i School: It emphasizes on things with enesculent nature and monetary items being integral.
Cultural Differences and Comparatives
- Judaism and Christianity: Similar prohibition exists prohibiting interest among brethren.
- Islamic Jurisprudence: Distinctive in its detailed regulations and scholastic interpretations regarding permissible business transactions.
Synonyms & Antonyms
- Synonyms: Interest (when unlawful), Excess gains, Unfair interest
- Antonyms: Fair trade, Profit-sharing, Halal earnings
Exciting Facts
- The interpretations by scholars such as Abu Yusuf and al-Shafi’i often cater to the adaptive requirements in contemporary financial dealings.
- Islamic banking systems are designed avoiding ribā by implementing models of profit-sharing and joint ventures (e.g., Mudarabah and Musharakah).
Quotes from Notable Writers
“The impact of ribā on the soul is akin to the rusting of iron, slowly degrading its strength and integrity.”
- Yusuf Al-Maqsudi, Scholarly Essays in Islamic Economics
Suggested Readings
- Books from İslamic Scholars:
- Abū Ḥāmid al-Ghazālī’s “Iḥyā’ ‘Ulūm ad-Dīn”
- “The Revival of the Religious Sciences”
- Qaradawi’s “The Lawful and the Prohibited in Islam”
- Academic Papers & Theses:
- Papers on “Islamic Banking and Finance” in Journal of Comparative Economics.
Quizzes
Embrace these teachings with a lens of justice and compassion. May you find knowledge that blossoms into wisdom, guiding you to act ethically in all your economic dealings.
Fare you well on your journey towards insightful knowledge and just endeavors.
Fatima ibn Khalid, October 1, 2023
