Usury, Exploitation, and the Islamic Economic System

​Earning wealth through unlawful means is declared strictly forbidden (haram) in the Quran and Hadith. In this regard, Almighty Allah states:

​“O you who have believed, do not consume one another’s wealth unjustly, except when it is through mutual trade. And do not kill yourselves. Indeed, Allah is ever Merciful to you.”

​The Prophet Mohammed (S.) described a person who travels on a long journey, disheveled and covered in dust, raising his hands toward heaven pleading, “O Lord! O Lord!” yet his food is unlawful, his drink is unlawful, his clothing is unlawful, and he was nourished by what is forbidden. How, then, could his prayer be answered?

​Sa’d (may Allah be pleased with him) once requested the Prophet Mohammed (S.) to pray so that his supplications would always be accepted. The Prophet replied:

​“O Sa’d, purify your earnings, and your supplications will be answered. By Him in Whose hand is my soul, if a person puts a single morsel of forbidden food into his mouth, his prayers will not be accepted for forty days.”

​It is also narrated that if someone buys a garment for ten dirhams and even one dirham among them was earned through illicit means, their prayers will not be accepted as long as they wear that cloth. Imam Ibn al-Ward remarked that even fighting on the battlefield or guarding the frontiers is of no benefit unless a person ensures that their food is strictly lawful.

​It is worth noting that Abu Bakr (R.) had a servant who paid him a portion of his daily earnings as an agreed fee for his freedom. Abu Bakr would always ask about the source of the earnings before accepting them. One evening, when Abu Bakr (R.) was fasting, the servant brought some food. In his rush, Abu Bakr (R.) forgot to inquire about its origin and swallowed a mouthful. When asked, the servant admitted that during the pre-Islamic period of ignorance (Jahiliyyah), he used to tell fortunes by deceit, and the food was purchased with that money. Abu Bakr (R.) immediately exclaimed that the servant had almost ruined him. He forced himself to vomit by sticking his finger down his throat and drinking excess water until every trace of the meal was purged. When onlookers asked why he endured such agony over just one bite, Abu Bakr (R.) replied that he would have done so even if it caused his death, because he heard the Prophet Mohammed (S.) say:

​“The body that is nourished by forbidden earnings is most suited for the Hellfire.”

​Usury (Riba) and Economic Injustice

​Usury is one of the most widespread forms of unlawful earnings and has become deeply embedded in the modern global economic structure. Historically, usury was a recognized problem across civilizations, including ancient Egypt, Rome, Greece, and India. Ancient scriptures such as the Vedas, Torah, and Gospel addressed it, and Greek philosophers like Socrates, Plato, and Aristotle strongly condemned it.

​In Islamic economic philosophy, usury is utterly prohibited under all circumstances. It serves as an instrument of economic oppression, fuels inequality, narrows human compassion, slows genuine economic growth, and skews the fair distribution of wealth. The Arabic word for usury is Riba, which literally denotes increase, growth, excess, or elevation.

​During the pre-Islamic era, critics conflated usury with regular trade. However, the Quran rejected this comparison, forbidding usury in seven distinct verses. The Quran warns:

​“Those who consume interest cannot stand on the Day of Resurrection except as one stands who is beaten by Satan into insanity. That is because they say, ‘Trade is just like interest.’ But Allah has permitted trade and has forbidden interest.”

​Engaging in usury is equated to waging war against Allah. Over forty authentic Hadiths and unanimous scholarly consensus (Ijma) firmly establish its absolute prohibition.

​Misappropriation and Bribery

​Islam strictly forbids embezzling wealth and taking or giving bribes. Almighty Allah states:

​“And do not consume one another’s wealth unjustly, and do not offer it as bribes to authorities so that you may wrongfully consume a portion of the wealth of the people while you know it is wrong.”

​The Prophet Mohammed (S.) cursed both the one who offers a bribe and the one who accepts it. He also explained that if an individual intercedes for a person’s rightful need and then accepts a subsequent gift or favor in return, it amounts to a serious form of usury. Abdullah ibn Mas’ud (may Allah be pleased with him) noted that accepting compensation for simply fulfilling a brother’s need is unlawful. When an employee receives a salary for a role, taking additional gifts, tips, or perks from clients for performing their assigned duty is classified as bribery. However, reasonable wages earned outside official working hours for extra labor do not fall under this category.

​Gambling

​Gambling is another prohibited method of acquiring wealth. The Quran states:

​“O you who have believed, intoxicants, gambling, idolatrous altars, and divining arrows are abominations of Satan’s handiwork. So avoid them that you may be successful.”

​This prohibition encompasses all games played for wagers such as dice, cards, or board games where money is staked. It is a predatory extraction of another person’s wealth without genuine economic exchange. The Prophet Mohammed (S.) instructed that if someone merely invites another to gamble, they should immediately give charity (sadaqah) to expiate the wrongful suggestion.

​Extortion and Illegal Levies

​Extorting money by force is an act of severe injustice (dhulm) that is strongly condemned in Islamic law. The Quran declares:

​“The blame is only against those who oppress people and wrongfully cause corruption on earth. For them it is a painful punishment.”

​Extortionists take what is not rightfully theirs and spend it unlawfully. On the Day of Judgment, those who seize others’ property by force will be required to compensate their victims through their good deeds. The Prophet Mohammed (S.) described the genuinely impoverished person as someone who arrives on Judgment Day with abundant prayers, fasting, and charity, but who abused, harmed, or usurped the wealth of others. Their good deeds will be distributed to their victims until none remain, and the victims’ sins will then be placed upon the wrongdoer before they are cast into Hell. He explicitly warned:

​“The extortionist will not enter Paradise.”

​Armed Robbery and Brigandage

​Robbery is a grave offense far more dangerous than ordinary theft, carrying severe legal penalties in this life alongside divine punishment in the Hereafter. The Arabic term Muharibun refers to armed bandits who attack defenseless people in public places, homes, waterways, or open highways to seize their possessions by terror.

​For those who pillage property and terrorize society, the Quran prescribes severe capital and deterrent punishments:

​“The recompense of those who wage war against Allah and His Messenger and strive upon earth to cause corruption is only that they be killed or crucified or that their hands and feet be cut off on opposite sides or that they be exiled from the land. That is for them a disgrace in this world; and for them in the Hereafter is a great punishment.”

​Fraud in Weights and Measures

​Cheating in weights and measures is strictly forbidden, and severe consequences await those who practice it. Almighty Allah states in the Quran:

​“Woe to those who give less than due those who, when they take a measure from people, take in full, but when they give by measure or by weight to them, they cause them loss.”