The Quran forbids Muslims to give, take or use interest. This injunction of the Quran reminds people that interest does not increase wealth, on the contrary, decreases it.
“That which you give in interest, in order that it may increase other peoples wealth, increases not with Allah; but that which you give as Zakaat, seeking Allah’s pleasure, increases manifold.(30-39)”.
“Allah has permitted trade and forbidden interest. (2.275)”.
The Quran has clearly distinguished between trade and interest but some people intentionally mix trade with interest, saying that “trade is just like interest”. However, the economic principles of Islam strictly prohibit lending or saving on interest. We are in fact encouraged to spend more and more for the common good of society with the assurance that sharing our wealth in the name of Allah Ta´ala will increase our worth in the eyes of Allah Ta´ala.
“If you lend unto Allah Qardan Hasana, He will multiply it for you and He will forgive you, for Allah is most appreciative, most forbearing. (64.17)”.
The importance of trade has been inculcated in Mumineen by their leaders over the centuries, insisting that there is more honor in earning a small living while working for oneself than living in luxury in the service of others. Self-employment instills a reliance on Allah Ta´ala, while working for others creates the illusion that the employer is the benefactor.
“Who is he that will lend unto Allah Qardan Hasana? For He will increase it manifold to his credit, and he will have a generous reward. (57.11)”
Responding to the directions given by His Holiness, his followers are determined to give up usurious transactions and carry on their business and fulfill their family needs in accordance with the tenets of Dawat-e-Hadiyah. To facilitate them the 53rd al-Dai al-Mutlaq is strengthening and expanding the religious and charitable institutions which serve as nuclei in several countries, to propagate, foster and implement the concept of Qardan Hasana through easy accessibility of funds and to encourage business transactions that avoid credit. Syedna Mohammed Burhanuddin RA states: “ To improve the economic condition of Mumineen and to raise their standard of living it is essential to consider Qardan Hasana as an economic system and take barakat from it. “
For the conceptualizers and omanaa’ of the Qardan Hasana Scheme this is not simply a mechanism for the giving out and receiving of funds. The intent is also to leverage and promote the gift of giving, and increase the quality of selflessness within the community. Through a variety of schemes, i.e. Husain, Taher and Mohammedi, which allow very small to large participations, it has been made possible for any Mumin to participate in the activities of Qardan Hasana. The Qardan Hasana program is a platform to benefit and uplift individual members and households of Mumineen, be it through financial support, or through knowledge, technical knowhow, contacts and connections, so that the overall wisdom within the community multiplies and benefits generations to come.