Abstract
Islam is not a mere set of worships but it leaves no stone unturned to guide its followers regarding the social conduct be it politico-legal, socio-cultural or economic etc to name a few. The interest-based transactions have been categorically rendered impermissible and unlawful by virtue of Quranic injunctions and authentic ahadith. In this article the issue of interest based transactions – Muslim to Muslim, Muslim to non-Muslim and vice versa, a Muslim resident of a non-Muslim state and a Muslim non-resident of a non-Muslim state – has been discussed in detail in the light of Quran, hadith and juristic rulings of the eminent Islamic scholars including the great four imams.
