Resolutions-of-Islamic-Fiqh-Council-1

The Sixth Resolutionon Currency NoteAll Praise be to Almighty Allah.Blessing and peace be on His Prophet Muhammadafter whom there is no prophet, and on all thosewho followed his way of guidance.The Islamic Fiqh Council during its 5 th session held between8-16 Rabi Al-Aakhir 1402H (2-10 February 1982) looked intothe research paper presented to it on the issue of the currencynote and the rulings of Islamic Shari’ah on it. After havingdiscussion and deliberation, the Council adopted the followingresolution:1. Since the origin of cash money is gold and silver, and theirpricing is the main cause of usury according to one of themost authentic views in the Islamic Fiqh. This pricing is notconfined to gold and silver only and since the currency notehas also acquired the price value and taken the place of goldand silver in the transaction and through it, things areevaluated in the present age, because the dealing with goldand silver has disappeared. People are now content to possessand save it. The public commitments and dealings arefinalized through it, despite the fact that it has no value in itsown. Its value is due to some other reason and that is theexistence of general trust that it enjoys as a medium of dealingand transaction. This is its price-value.Since the usury in gold and silver is due to the price-value thatexists in the currency note, that is why the Islamic FiqhCouncil decides that the currency note is self-sufficient moneyand its price-value is similar to that of gold and silver. Hence,Zakah is applicable in it and usury of both kinds (Fadhl and137