Financing Agricultural Products: The Non-Interest Model.

The Agricultural sector is one of the poorly financed sector of the economy. Without a fully functional agricultural sector all the gains in the other sectors of the economy will amount to nothing, and food crisis might engulf both the rich and the poor. Majority of the key players in this sector are generally not… Read More »

Zakat on Salary

The payment of zakat is obligatory on all Muslims who meet the stipulated conditions, hence, its not obligatory on all, but those that have met the conditions. Generally, zakat is obligatory on four kinds of wealth: Agricultural produce (grains, fruits, etc.) Grazing livestock and cattle; Gold and Silver (and their equivalents in modern currencies and… Read More »

Beware of Haram “Sukuk” from the secondary market.

Without sounding too technical, Sukuk in general may be understood as a shariah compliant ‘Bond’. In its simplest form sukuk represents ownership of an asset or its usefulness. The claim embodied in sukuk is not simply a claim to cash flow but an ownership claim. This also differentiates sukuk from conventional bonds as the latter… Read More »

Proliferation of Riba based Loans: Don’t be a product of Prophecy.

Going down memory lane it is obvious that riba based loans has been with us from time immemorial. In recent decades getting access to loan is only possible via the major banks and financial institutions, which in most cases offer loans to big corporations. Besides, for individuals, the processes are so tedious that not many… Read More »

Payment of Zakat on financial instruments and funds.

The place of Zakat in the life of a Muslim cannot be overemphasized as stated in our previous publication – zakat on agricultural products. The modern day financial market has evolved and most of what we have today were not present during the times of the Prophet (SAW) when the laws of Zakat were made… Read More »

Zakat on agricultural products.

Introduction. In recent times the agricultural sector has witnessed an increased attention by the government. Many people are now exploring the potentials that are inherent in the agricultural sector. The government has increased financial support to the sector with the approval of 1 Billion Dollars for agriculture by the council of state of the federal… Read More »

Ethical option for pension funds

The reality is that we can’t be fresh forever, similarly, we can’t earn forever particularly if you are a salary earner. The older you become in the job, the sooner you might be let go off the job. Hence there is need to save for the rainy day. One of such savings for the rainy… Read More »

Fixing our Muslim Schools.

Introduction. The importance of education and the position of learning in Islam cannot be overemphasized, in fact, the first verses that were revealed to Prophet Muhammed(SAW) talks about reading and knowledge as explicitly stated in Quran 96 verses 1 to 5 thus: “Read: In the Name of your Lord who created. Created man from a… Read More »

Re-positioning Lagos state trust fund to accommodate Muslims.

Introduction. One of the most popular buzzwords in the government circles these days is either entrepreneurship or empowerment. This is very interesting as our government is waking up to their responsibilities of ensuring that they provide the enabling environment and the required funds that are needed to stimulate employment and economic growth. Kudos to the… Read More »

Mufti in Islamic Finance.

Introduction. The concept of finance, investment and entrepreneurship are not new in Islam, it’s a concept that has been there during and after the demise of the Prophet (SAW). This is evident in various hadith and the several verses of the Quran that relates to these issues. Early scholars of Islam such as ibn Taymiyyah,… Read More »