AAOIFI Shariah Standards

Rules for Calculating Profit in Financial Transactions: Appendix B - The Shariah Basis for the Standard

The basis for not stipulating a maximum profit limit is the Quranic Verse: {“…except it be a trade amongst you, by mutual consent”}. This ruling is also confirmed by Resolution No. (46) 5/8 of the Islamic Fiqh Academy, which states: “There is no fixed specific profit rate that traders are bound by.”

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