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Investment in pay diamond company is halal or haram


Can we invest in paydiamond company or not would it be halal or haram as per Islam.



Salamun Alaykum

Thank you for your query.

Since you haven’t mentioned what is the contract the diamond company is making while dealing, in order to declare it halal or haram. But in general, if you are investing certain amount of money so the company can work and do business with that money and give you a percentage of profit to you after working, then there is no problem in it. But if you are giving them as a loan and are expecting the profit and interest above it, then this is known as Riba(usury) which will be Haram. Also, it should be noticed that the money should be invested in the Halal business but if the people you are giving money to, invest in Haram business then this is problematic.

Below i will mention some of the rulings regarding investment and shares according to Ayatullah al-Udhma Sayyid Ali Sistany:

Question: Is it permissible to invest in companies who deal in part, in intoxicating drinks without the possibility of separating one’s investment from that of the others in that line of production?

Answer: It is not permissible to participate or deal in the production of intoxicating drinks.

Question: Can I invest my money in the stock market?

Answer: There is no objection in it per se,

Question: Some trading and manufacturing companies get loans from private or state banks in Muslim countries and also from other [non-Muslim] institutions with the condition of interest; and they also earn interest on the deposits they leave in those banks. Are we allowed to buy shares from these companies or be partners in their ventures?

Answer: If the partnership with them is like participating in their interest-bearing activities, it is not allowed. However, if Muslims own the company and it receives interest from the banks of non-Muslims, there is no problem [in buying its shares or partnership] from this perspective.

Investing in the bank share/stock market according to Ayatullah al-Udhma Sayyid Ali Sistany:

It is permissible if bank doesn’t have interest/usury(rabawi) transactions. But if you know the transactions are usury(rabawi), then in this case the share will be allowed if you inform the bank that you do not agree with the rabawi transaction, even if the bank doesn’t accept or act according to you. This way you will be released from the sin of getting involved in the usury(rabawi) transactions.

May Allah(swt) grant you success


Syed Haider