The quest for wealth is not condemned in Islam. But how you create wealth, the intent with which you accumulate wealth and the activities you engage in to add wealth is considered of atmost great significance in Islam.
‘The worldly comforts are not for me. I am like a traveler, who takes rest under a tree in the shade and then goes on his way’ (Prophet Muhammed pbuh) (Musnad Ahmad 3701)
Now let us look into some of the most frequent questions on wealth;
• How it’s possible to invest and grow money without Riba, is it even thinkable?
Yes, its indeed possible in this modern world. But you need to devote little bit of time to learn and understand those investment possibilities. For eg: Investment in Sharia compliant Mutual fund is one such option.
• Ok, Sharia right, accepted! But who will give me a car loan a mortgage loan or a business loan?
Across the globe there has been some great develops in terms of genuine alternatives to conventional riba based finance.
Interest Free Housing Co- operative of Canada (IHC) provides interest free housing ownership. It works under a cooperative concept and provides interest free housing finance option to its members. The best part is the occupancy charge is a proportion of the fair market rental value. Check this Click here for details for details.
There are similar financing options available across the world for car loans and business finance too. Recently came across a business loan facility on similar concept in India, once I study it in detail will provide the link here.
• How to bank within the available facilities in India, interest (riba) free?
Banking is an essential requirement for an individual be it an employee, businessman or pensioner. As Islamic banking facility is not available, you are left with two choices; One is to write to the bank not to credit any interest component to your account or if you are credited interest then compute the same using the bank statement and give it away on charity. By choice you have the option not to open deposits which give fixed interest
• Sharia compliance, its some medieval concept, how will it match modern sophisticated economics?
Islamic Sharia economic principles provides a clear understanding on how to deal with money on your day today life, it necessitates the fair and even distribution of wealth and even how to integrate your financial aspirations in line with that of the society in general.
Especially after the global recession of 2008, many countries including UK, Canada, South Africa have recognized the importance of Islamic banking and its principles as a feasible alternative to the conventional banking system. The conventional banking based on interest (Riba), the concept of Money Multipliers (or credit multipliers) and over indulgence in speculation through derivative products may not be perfect solution in the future.
The current sharia compliant financial assets are estimated roughly at US $ 2 trillion. As per Thomson Reuters’, Islamic finance assets are projected to grow to US $ 3.2 trillion by 2020.