Verse 275 of Surah Al-Baqarah, akin to a luminous beacon within the corpus of divine injunctions, elucidates with profound and sagacious expression the prohibition of riba (usury) and distinguishes it from sale (bay). This verse, by explicating the fundamental differences between riba and sale, opens a window towards understanding Islamic economics and social justice. In this treatise, adopting a scientific and systematic approach, the lexical, jurisprudential, and economic dimensions of this verse are examined. The present analysis, relying on the linguistic precision of the Holy Quran and jurisprudential reasoning, clarifies the meanings of riba, its distinction from sale, and the implications in commercial transactions. This examination holds significant importance not only for understanding Sharia rulings but also for reconstructing an economy based on justice and social development.
Key Point: Verse 275 of Surah Al-Baqarah, by emphasising the prohibition of riba and the permissibility of sale, establishes the foundation of the Islamic economy on justice and social growth.
The term riba, rooted in cognate lexemes such as rabb, rab, and rubuww, shares a common semantic field, yet encompasses distinct aspects. These lexemes denote growth and increase; however, their usage conveys differentiated meanings. Riba signifies a non-productive increase in wealth, in contrast to bay (sale), which results in growth in the sold commodity. This lexical distinction provides the foundation for understanding the jurisprudential and economic differences between these two concepts.
The term rub in its absolute sense applies solely to God, as He is the true Lord of all realms of existence. This lordship is not merely permissible but, due to Gods intrinsic perfection, impossible for any other entity. Divine lordship encompasses all realms independently of any procreation or generation and is free from any deficiency or limitation.
Key Point: The application of rub to any entity other than God is impossible, since divine lordship encompasses absolute perfection and the entirety of existence.
Unlike human assumptions, divine lordship does not require procreation. Parents may play a relative and conditional role akin to lordship in raising children, but such lordship is limited by their capacity and conditions. A father who abandons or does not acknowledge his child cannot be regarded as a true lord. This distinction highlights the limitations of human lordship compared to the perfection of divine lordship.
The linguistic exactitude of the Holy Quran in employing the term rub testifies to its divine origin. This precision, manifested in differentiating between absolute application (to God) and restricted application (to others), exceeds the capability of the literary figures of the Quranic era. Even today, such linguistic accuracy would be considered a sign of revelation, a feature unattainable in any human composition.
Key Point: The linguistic precision of the Holy Quran in the usage of rub serves as evidence of its divine revelation, transcending human literary ability.
The lexical analysis of riba and rububiyyah unveils the depth of Quranic meanings. Riba, as non-productive increase, contrasts with divine lordship, which is absolute and all-encompassing perfection. This distinction is instrumental not only in linguistic studies but also in jurisprudential and economic understanding. The linguistic precision of the Holy Quran, as a miraculous verbal phenomenon, demonstrates its superiority over any human discourse.
الَّذِينَ يَأْكُلُونَ الرِّبَا لَا يَقُومُونَ إِلَّا كَمَا يَقُومُ الَّذِي يَتَخَبَّطُهُ الشَّيْطَانُ مِنَ الْمَسِّ ۚ ذَٰلِكَ بِأَنَّهُمْ قَالُوا إِنَّمَا الْبَيْعُ مِثْلُ الرِّبَا ۗ وَأَحَلَّ اللَّهُ الْبَيْعَ وَحَرَّمَ الرِّبَا
Those who consume riba will not stand except as one stands who is being beaten by Satan into madness. That is because they say, Trade is [just] like riba. But Allah has permitted trade and forbidden riba.
Riba, like superficial growth, is confined to non-productive increase in wealth, whereas sale, analogous to vascular growth, results in the expansion of the sold commodity. Riba represents an increase accruing solely to the owner of the wealth (lman lahu almal), while sale generates growth for both the owner and the non-owner (lman laysa lahu almal) through effort and labour. This distinction underscores the productive role of sale in social economy and the non-productive limitation of riba in ownership.
Key Point: Riba is a non-productive increase in wealth, whereas sale facilitates productive growth in the commodity benefiting all parties.
Riba cannot exist without capital as it is tied to ownership. Conversely, sale can produce growth through labour and effort alone, even in absence of capital. This characteristic renders sale an instrument for social justice and widespread economic growth, whereas riba confines wealth accumulation to owners.
In measured and weighed transactions, precision in measurement prevents excess or deficit, as any surplus constitutes riba. For instance, exchanging one kilogram of wheat for one kilogram and one sr (a smaller unit) of wheat, due to precise measurement, constitutes riba. However, in counted transactions, such as walnuts or eggs, due to lack of precise measurement, minor variations do not constitute riba. Walnuts and eggs, given their variance in size and quality, are excluded from riba rulings.
Banknotes are not commodities per se but symbolic indicators of commodities (such as gold or silver). Just as a flag represents a battlefield but is not the battlefield itself, banknotes signify value. Therefore, treating banknotes as commodities in transactions subjects them to the rules of measured and weighed exchange, and any surplus constitutes riba.
Key Point: Banknotes function as symbolic indicators of commodities, and their exchange, under measured and weighed criteria, is subject to riba rulings.
Banknote selling, such as reducing the nominal amount of banknotes in transactions, is a riba-based and non-Sharia-compliant act. This practice, sometimes rationalised by certain academic circles, leads to the misuse of banknotes in transactions and contradicts Sharia rulings.
The jurisprudential and economic analysis of Verse 275 of Surah Al-Baqarah elucidates the fundamental difference between riba and sale. Riba, as non-productive increase in wealth, contrasts with sale, which causes productive and social growth in the commodity. The distinction between measured/weighed and counted transactions, alongside the symbolic role of banknotes, clarifies precise jurisprudential rules in commerce. This analysis underscores the necessity to avoid riba and promote sale as the foundation of the Islamic economy.
In counted transactions, such as buying and selling walnuts or eggs, due to absence of precision in measurement, surplus is not considered riba. For example, exchanging ten walnuts for twenty eggs, given their difference in nature and lack of precision, is exempt from riba rulings. Custom recognises these differences and validates such transactions.
Cheques,
