AskImamDarul Iftaa Mahmudiyyah (AskImam)

Is it permissible to work for a micro-finance regulatory body.The work involves approving micro lenders whose business is to loan money and charge interest.

Fatwa 2244English
Finance and Commerce

Question

I am working for the Micro finance regulatory council.The aim of the council is to regulate the micro lenders.My work involves accrediting these lenders and ensuring that they comply with the rules of the council.The council is not funded by the government but rather by the fees we receive from these micro lenders whose core business is to lend money and charge interest thereon.Is earnings from working at the council halaal?

Answer

Interest is strictly prohibited in Shari'ah. Since your council's core business involves interest bearing transactions, your employment there will be assisting in sin, hence, not permissible.

and Allah Ta'ala Knows Best

Mufti Ebrahim Desai
FATWA DEPT.

Answered by
Mufti Ebrahim Desai
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