The International Islamic Correspondence School
Department of Quranic Studies



Of the many difficulties faced by the world today the economics problems and those of livelihood are of the foremost importance. In this lesson you will learn (Insha-Allah) about the clear and final solution to these problems that have been offered by ISLAM.

It may be remembered that a number of people have attempted to solve these problems specially those of livelihood, but history shows that all such solutions have been temporary. They succeeded for specific periods for particular peoples, but failed at the end. Islam is the only religion which offers such solutions to these problems which are universal and practicable for all times. Let us see how.

1. The success of every economic system depends on good and comprehensive planning. Islam teaches this principle, as follows :

“Make not thy hand tied (Like a Niggard’s) to thy neck, nor stretch it forth to its utmost reach, so that thou become blame worthy and destitute”. (17:29)

2. These days Banks are considered to be an essential part of Economic system. And every body knows that the entire business of the bank is conducted on the basis of interest. This benefits the rich and they grow richer every day but the poor man is buried under the debts. Islam declares this cruel system as unacceptable. In its place Islam suggests a system of mutual cooperation without interest which is called “Mudayana”.

ALLAH, the Magnificent, says :

“O ye who believe! When you deal with each other in transactions involving future obligations in a fixed period of time reduce them to writing.” (2:282)

3. We have stated in para no. 2, that the rich become obviously richer by doing business through banks, but in reality they do not. Being rich does not mean filling up of ones vaults with money, but the facility with which all his needs are met and he remains contented at heart. You might have observed that one who is engaged in the business of interest, his needs are never met and he is never satisfied. Such people cannot even sleep calmly at night. Islam while solving this problem says that people should stop banking on interest. They should know that prosperity in business and inner satisfaction lies in acting on the economic system designed by ALLAH (S.W.T). And interest results in loss and loss alone.

ALLAH, the Magnificent, says :

“O ye who believe! Fear ALLAH and give up what remains of your demand for usury, if ye are indeed believers. If ye do it not, take notice of war from ALLAH and his apostle. But if ye turn back ye shall have your capital sums: deal not unjustly, and ye shall not be dealt with, unjustly.” (2:278-279)

4. In any society the secret of rehabilitation of economic system lies in a balanced distribution of wealth. That it does not accumulate with a certain person but every one gets his share out of it. This principle has been enunciated by Islam in the shape of ZAKAT (Charity) & SADAQAT (Alms). This does not allow wealth to remain with the rich alone, but they give away a part of their income to the poor. Thus prosperity is available everywhere. And this is the system which promises a simple and permanent remedy for poverty in the world.

ALLAH, the Magnificent, says :

“Those who (in charity) spend of their goods by night and by day in secret and in public, have their reward with their Lord. On them shall be no fear, nor shall they grieve.” (2:274)

5. One of the reasons of problems of economy and livelihood is that people do not observe the system designed by ALLAH, which includes both dealings and worships. Quran mentions yet another reason for economic hardship guiding simultaneously towards its remedy. That is, ALLAH (S.W.T.) may be worshipped as He ordains.

ALLAH, the Magnificent, says :

“But whosoever turns away from my message, verily for him is a life narrowed down, and we shall raise him up blind on the day of judgment.” (20:124)


Read the thirteenth lesson and answer the following questions :

Q.1. Para no. 1 mentions of a golden rule given by Islam for a successful economic system. What is that principle? Please answer after reading verse (29 / Bani-Israel).

Q.2. In the verse quoted in para no. 2 (282 / Al Baqara), ALLAH, the Magnificent, has provided a clear and better system in replacement of system of interest, which is called ‘MUDAYANA’ :

i. Why ISLAM is against of interest ?

ii. What is the benefit in ‘MUDYANA’ ?

Q.3. The wealth which does neither provide happiness nor inner satisfaction, is not useful to the people who are indulge in interest. They in reality, wage a war against ALLAH, the Magnificent, and His Apostle. How, then, could they get inner satisfaction? After going through the verses (278-279 / AL-Baqara), fill up the following blanks :

But if ye turn back _____________________, deal Not unjustrly, and ye shall ____________________ .

Q.4. After reading para no. 4, tell what teachings are provided by Islam for keeping a balance of wealth and what are its benefits?

Q.5. You have read in this lesson about some Islamic principles of economic system to earn their benefits. You have noticed that if this system of livelihood is followed, how many of our problems can be removed. Are you prepared to make your life really pleasant and happy by acting upon these principles ? Write a few lines on this issue.



1 We should spend moderately in every walk of life. Neither spend too less nor too much.
2 (i) Because "Interest" makes rich, richer & poor, poorer (ii) It balances rich & poor. It also creates co-operation & love between poor & rich.

3 …… you shall have your capital sums …… not be dealt with unjustly. (2:278-279)

4 Pay (Full) Zakat (Charity) and sadaqat (Alms) If we do this our Society will be prosperous Insha-Allah

5 Yes - I am ready.