| Halal is just another word for sharia compliant. If it is against islamic law (sharia), then it is not halal (haram). Halal certification is a different thing. When you deposits money, bank might offer you annual interest of 1%. No matter what happened, whether the bank is at loss or not, you get the 1%. This is riba. If the purpose of the deposits is to be used as investment, then it must be clear from the beginning and there would be risk of loss. When bank lend money to a person, bank asked for an interest of say 5%, bank does not care if the person is profiting or not, they will get their additional 5%. This is riba. Lending in islam is a social activity and no profits should occur from it. Would there be risk for lender? Yes. Would it means they can profits from it? In Islam, No. I am not confident with the premise that you said a business is guaranteed to earn profits. I’ve seen business rise and fall, pre covid and after covid. I’ve started some of my own business and some got profitable and some doesn’t, some were profitable in the beginning, some started to see declines. I don’t understand what is sneaky about sharia law for banking, it prevents anyone from being unfair and that anyone know the risk from a transaction, and that no one should profits from their partner loss and that loan shall not be profitable. |