Finance-related matters

QUESTION:-

1. Are fixed deposits Jaaiz?
2. What is the ruling with regards to investing in a business?
3. What is the ruling regarding investing in cryptocurrency?

ANSWER:-

1. The Muftis have permitted a person to open a bank account with the intention of safekeeping or protecting his funds. It is not permissible to deposit money into a bank account with the intention of accruing interest. A person that puts his funds into a fixed deposit, does so with the intention of accruing interest, hence, it is not permissible.

2. Investing in a Halaal business venture is totally permitted with the proviso that the partnership is structured in accordance with the laws of Shariah.

3. We have not approved of cryptocurrency hence, we advise abstention.

ALLAH TA’ALA ALONE IN HIS INFINITE KNOWLEDGE KNOWS BEST!

ANSWERED BY:

Mufti Mohammed Desai

Date:- 21 Dhul Hijjah 1444 / 11 July 2023