Investing in prize bonds

Answered according to Hanafi Fiqh by

Q: My question is regarding the bonds that can be acquired from the state bank of the country and used as an investment tool by different people. The different bonds are worth from 100 Rupees to 40000 RS. then people wait for the draw to take place, once the draw takes place if your bond number is in the list you will get the prize money, otherwise you can get your money back by returning the bond to the bank. I want to know whether investment in these bonds are Halal or Haram. Is the prize money halal or haram?


A: It is haraam.

Investing in these bonds are haraam as the elements of riba (interest) and qimaar (gambling) are found in it. If one had invested his wealth in such an investment, then he should sincerely repent to Allah Tala for committing this grave sin and make a firm resolve that he will not repeat this sin in the future. Similarly, it will only be permissible for him to take back his capital amount which he had invested. As far as the extra amount received is concerned, it will have to be given in charity without the intention of receiving any reward.

Note: Grave warnings have been sounded in the Mubaarak Ahaadith for the one who gets involved in riba (interest). Jaabir (radhiyallahu anhu) reported that Rasulullah (sallallahu alaihi wa sallam) cursed the one who consumes interest, pays interest, the scribe for the interest bearing transaction and the witness to such a transaction.”

And Allah Ta’ala (الله تعالى) knows best.


Answered by:

Mufti Zakaria Makada

Checked & Approved:

Mufti Ebrahim Salejee (Isipingo Beach)

This answer was collected from, where the questions have been answered by Mufti Zakaria Makada (Hafizahullah), who is currently a senior lecturer in the science of Hadith and Fiqh at Madrasah Ta’leemuddeen, Isipingo Beach, South Africa.

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