Pearl of Wisdom

in reply to Ibn Sikkit's question about the reason for Allah's sending Prophet Moses (AS) with the staff [that turned into a snake], his illuminated hand and magic as a resource, and His sending Prophet Jesus (AS) with medicine as a resource, and His sending Prophet Muhammad (SAWA) with speech and eloquence, 'Verily when Allah sent Moses (AS), the trend prevalent among the people of the time was magic, so he brought them something from Allah the like of which they were incapable of producing, which thwarted their magic, and with which he demonstrated the proof against them. And verily Allah sent Jesus (AS) at a time when paralytic diseases were widespread and people needed medicine, so he brought them something from Allah the like of which they did not have, and with which he brought life to the dead, cured the blind and the leper with Allah's permission, and demonstrated the proof against them. And verily Allah sent Muhammad (SAWA) at an era when the prevalent trend among the people of the time was speech and eloquence and I think he even said poetry so he brought to them Allah's exhortations and wisdoms with which he thwarted their words, and with which he demonstrated the proof against them.'

Imam Ali ibn Muhammad al-Hadi [as]
al-Kafi, v. 1, p. 24, no. 20

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Question : #532 Category: Business / Investment
Subject: investment in bonds
Question: Is it haram to invest in bonds?
Answer: Depending on the interest source.

So yes, if an agreement is made between the lender and the government that a fixed amount of interest will yield on the principal of the bonds.

However, if no such condition is stated and with the understanding that you would not require the borrower to pay you interest, then in that case you can invest in such ventures and use the full amount of interest, if it is a bank of the unbelievers (kafir).

If it is a Muslim bank, then you have to distribute half of the interest money to the poor and the other half belongs to you.

SOURCE: Ayat. Khui, Masailah wa Rudud, p. 113

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