EconPapers    
Economics at your fingertips  
 

An Analytical Review of Different Concepts of Riba (Interest) in the Sub-Continent

Farooq Aziz, Muhammad Mahmud and Emad ul Karim
Additional contact information
Farooq Aziz: Federal Urdu University, Gulshan-e-Iqbal Campus, Karachi

KASBIT Business Journals (KBJ), 2008, vol. 1, 36-43

Abstract: The traditional concept of Riba (interest) is an excess amount on loan, which creditor receives from debtor on the repayment of loan. There is almost a consensus on the sprit of this concept that it is traditional thought or school; but along with that some other point of views also exist, which present Riba, in somewhat different ways, will be termed as non-traditional approach in this paper. Both of these schools are agreed on the point that, Riba is just restricted to debt, and the increment on it is Riba; but the main difference among these is that: former approach claims that, each and every addition on loan, regardless of purpose and time duration of loan is Riba; but, the later approach demand’s some room for that on different grounds. Actually both of them do not have any sound base. When the concept of unearned income (the income, which is not the result of human labor), is a recognized fact in Islamic economics in different forms, like: ijara (rent), Mudoraba and Mazara’a (Share Cropping); then definitely no logical reason is left to avoid excess income on loan. Both approaches are just unable to give a concrete concept of Riba.

Keywords: Riba; Interest; Rent; Share Cropping (search for similar items in EconPapers)
JEL-codes: E43 E51 P45 P51 P52 P59 (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://kasbit.edu.pk/KBJVol1/3-Chapter%2036-43.pdf

Related works:
Working Paper: An Analytical Review of Different Concepts of Riba (Interest) in the Sub-Continent (2008) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ksb:journl:v:1:y:2008:p:35-43

Access Statistics for this article

KASBIT Business Journals (KBJ) is currently edited by Syed Karamatullah Hussainy

More articles in KASBIT Business Journals (KBJ) from Khadim Ali Shah Bukhari Institute of Technology (KASBIT) Contact information at EDIRC.
Bibliographic data for series maintained by Yasir Jaseem ( this e-mail address is bad, please contact ).

 
Page updated 2022-10-03
Handle: RePEc:ksb:journl:v:1:y:2008:p:35-43