Q: What exactly is the definition of interest or riba? Will the return on investment for a business be considered as interest? Tell me briefly about interest.
A: If you are referring to getting a percentage of the profits of the investment then it is permissible, provided the business is halaal.
Allah Ta`ala states in the Qur’aan that the one who does not desist from interest and usury, then Allah declares war with him. Nabi (sallallahu alaihi wa sallam) has said: “Allah has cursed the one who consumes interest, its client, its witness, and its recorder.”
And Allah Ta’ala (الله تعالى) knows best.
Answered by:
Mufti Ebrahim Salejee (Isipingo Beach)