Is a European bank's purchase of machinery by installment, with an added 7% annual interest, and with the amount not paid in cash to the manufacturer but to the supplier company, considered a permissible or impermissible loan?

The question implies two scenarios: The first is that the bank genuinely purchases the machinery, bringing it into its ownership and responsibility, and then sells it to you in installments at a higher price. This is permissible and is known as Murabaha sale. The second is that the bank does not actually purchase the machinery but rather pays the money on your behalf, with the understanding that you will repay it more than what it paid. This is forbidden and constitutes a usurious loan involving interest. It is not permissible for a Muslim to undertake this due to the prohibition of usury (riba) and its dire consequences. Allah Almighty says: (O you who have believed, fear Allah and give up what remains [due to you] of usury, if you should be believers. And if you do not, then be informed of a war [against you] from Allah and His Messenger). And in Sahih Muslim: "Allah has cursed the one who consumes riba, the one who feeds it, its scribe, and its two witnesses," and he said, "they are all equal [in sin]."