Is it allowed to Take any profit on Saving Certificates?
In Pakistan we have National Savings Centre, from where you can buy different Certificates i.e. Defence Savings, Regular Income Certificates. These are runned by the Government of Pakistan. I would like to invest in National Savings Certificate on Regular Income basis (Regular Income= 0.6% profit on purchased certificates). What all i want to know is, whether is it right to have such profits? I want to buy these as this will help me to meet my extra expenditures. Please guide me with the help of Quran and Sunna!!! May Allah rewards you for this with his best (Ameen)
According to our finding, the certificate transaction you speak of involves interest. Therefore, you are not allowed to invest in such projects.
and Allah Ta’ala Knows Best
Mufti Muhammad Ashraf
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