Interest Dealings with Non-Muslim Banks in Muslim Country

Answered by Shaykh Faraz Rabbani

we know that if we invest our money in our countrys local banks then getting interest upon that investment is haram for us.i have heared from some islamic resources that if we invest our money in foreign non-islamic banks then getting interest upon that money is halal for us,because if we dont take that interest then that amount will be used by non-muslims who are banks owner.so we should take that interest.i am living in pakistan.there are many foreign banks operating in pakistan.i know i cant invest my money in pakistan’s local banks.but can i get interest from foreign banks?like standard chartered bank is foreign bank operating in pakistan.my question is that can i get interest from these banks,if i invest my money in these non-muslim banks.

Answer:

Assalamu alaikum wa rahmatullah

No, it is not permitted to give or take interest; whether with a Muslim or a non-Muslim individual or institution; whether in a Muslim or non-Muslim country. In Pakistan itself, there is a growing number of Islamic finance and banking alternatives.

Please see the following related SunniPath Answers (http://qa.sunnipath.com):
Taking interest in non-Muslim lands?
How to Get Rid of Haram Money
Why is bank interest haram?
Why is Riba, such as bank interest, forbidden? Are there alternatives in
Britain?
Reader on interest (riba), mortgage, leasing, insurance and other related
matters of Islamic finance

Jazakum Allah khayr.

And Allah alone gives success.