Is it permissible for the state to deal in usury, especially since all scholars in the country agree that banking transactions are usurious?
Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 2026
Usury (Riba) is forbidden for individuals and states, based on the Almighty's saying: "Allah has permitted trade and forbidden usury." It is also forbidden to consume usury or to facilitate it. Scholars have categorized companies into three types: investing in some of them is prohibited, such as usurious banks; it is permissible in others; and mixed companies require detailed examination. It is advisable to consult the fatwas of scholars such as Dr. Yusuf Al-Shubaili, Al-Osaimi, and Al-Rajhi.
Summarized from the full answer at Ftawy · imported
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