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FIN624 GDB No 01 Fall 2020 Solution / Discussion


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Question Description

Discussion Question:

One of the forms of capitalism is the interest based investment. There are normally two participants in such transactions. One is the Investor who provides capital on loan and the other manager who runs the business. The investor has no concern whether the business runs into profit or loss, he automatically gets an interest (Riba) in both outcomes at a fixed rate on his capital. It has become an integral part of the world economy.

Being a student of Islamic modes of financing, you are required to give your opinion that is this transaction allowed in Islam? If no, what is the underlying wisdom behind its prohibition? Support your answer with strong logical arguments.

FIN624 GDB No 01 Fall 2020 Solution / Discussion

 

SOLUTION PLEASE..........???????

Solution please

FIN624 GDB No 01 Fall 2020 Solution / Discussion

 

SOLUTION PLEASE..........???????

no not allowed

it encourages explotiation and unequal distribution of wealth

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