Forex trading 'haram', says National Fatwa Council


  • Nation
  • Wednesday, 15 Feb 2012

KOTA BARU: The National Fatwa Council ruled Wednesday that foreign exchange trading (forex trading) is forbidden (haram) for Muslims.

Council chairman Tan Sri Dr Abdul Shukor Husin said forex trading was against Islamic law and created confusion among Muslims.

"A study by the committee found that such trading involves currency speculation, which contradicts Islamic law.

"For that reason, the National Fatwa Council has decided that it is haram for Muslims to be engaged in such trading," he told reporters after chairing the Council's 98th conference here Wednesday.

Abdul Shukor said Muslims should not engage in forex trading as there are many doubts about it and it involves individuals using the Internet, with uncertain outcomes.

"Other forms of trading in foreign currencies, such as by money changers or between banks, are permissible, as they do not involve currency speculation or uncertain outcomes," he said.

He said the meeting also ruled that it was permissible for Muslims to invest or save in the Premium Saving Certificate scheme managed by Bank Simpanan Nasional (BSN).

He said the decision was reached after the committee was satisfied with the briefing by the Bank Negara syariah panel on the scheme's implementation.

"At first we had doubts about the scheme's implementation, but we were satisfied after the trading system was changed into the Islamic concept of Mudharabah," he said. - Bernama

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 0
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!
   

Next In Nation

Man burnt to death in Bentong house fire
US says Sime Darby Plantation products no longer produced with forced labour
Sabah sea curfew extended to Feb 19
Covid-19 Watch: 324 new cases bring total to 5,037,242
Cops raid drug lab run by ehailing driver in Seri Kembangan
Activists, police trapped in standoff with miner
Choosing charity over luxury
Two key Asean meetings to kick off in Jakarta
Harsher penalties send loud and clear message to smugglers
RESTORING TRUST IN COUNTRY’S HIGHER EDUCATION

Others Also Read