What is the ruling on one who lends money to a person for him to invest it or to utilize its profits?
Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 2026
It is impermissible to take a stipulated increase from the borrower; this is usury (riba), forbidden by the Qur'an, , and scholarly consensus. It is permissible to give money to be invested on the condition that the profit and loss are shared proportionally between the two parties. This is a legitimate (profit-sharing partnership).
Summarized from the full answer at Ftawy · imported
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- 35908
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