“Islamic Economics” is a term often referred to as a sub – branch of Islamic jurisprudence; fiqh in Arabic. The term of Islamic Economics literally translated from Arabic word “al iktisat’ul Islam, or rarely “al fiqh’ul Iktisat.”
To give a more professional definition; referring Umar Chapra; ” that branch of knowledge which helps to realize human well – being through an allocation and distribution of scarce resources that is in conformity with Islamic teachings without unduly curbing individual freedom or creating continued macroeconomic and ecological imbalances.” Also according to Chapra and many other Scholars; there are 4 sources of Islamic systems; they are;
1-) Quran, such a divine sources
2-) Sunnah, the sayings and practices of the Prophet Mohammed (pbuh)
3-) Ijma, the common belief of Muslim scholars
4-) Qiyas, the other principles that are compared to those three sources.
These resources are widely accepted as the main sources of Islamic sciences. We will break down each and every one of them later on InshAllah.
Islam, a religion born in a territory where the agricultural potential is limited but commercial possibilities were great; such as trade and tourism. Prophet Mohammed (pbuh) himself had been a merchant; and very successful businessman actually; so We can see that Islam always regarded merchants with honor and esteem. Along with Prophet (pbuh); many of His Sahabah were also merchants; Abu Bakr, Usman and many others were successful merchants.
By : Abdurrahman Al-Asykar