Mufti Online — Madrasah Ta'leemuddeen

Repaying a loan in a foreign currency

· 26 Safar 1445 AH1 min readEnglish

Question

Zaid is in Dubai. Aslam, from Pakistan, is in need of some loan. Zaid does not have a foreign currency account in Pakistan, so when Zaid transfers 2000 dirhams to Aslam, Aslam receives Pakistani rupees equivalent to 2000 dirhams. After one year, the Pakistani rupee value has dropped, now will Aslam return the same amount 2000 dirhams or Pakistani rupees that he received a year back? Or should he return the rupees equivalent to current value of 2000 dirhams?

Answer

If the loan was given in dirhams, then dirhams will have to be paid back.

And Allah Ta'ala (الله تعالى) knows best.

Answered by
Mufti Zakaria Makada
Checked & approved by
Mufti Ebrahim Salejee (Isipingo Beach)
View original Compare with other Darul Iftas
Questions about this ruling, answered only from the archive with sources.

Where scholars differ, it’s safer to take the more cautious view.

Fatawa SA is an independent, read-only index of fatawa already published by Mufti Online — Madrasah Ta'leemuddeen. It is not a fatwa service. For your own situation, please ask a Mufti. Report an issue

For corrections or mistakes, please email us at fatawasa786@gmail.com.

Source: Mufti Online — Madrasah Ta'leemuddeen — https://muftionline.co.za/node/34047
Fatawa SA: https://fatawa.co.za/fatwa/muftionline-34047

People also ask

What are the Islamic rules for lending money?

“Qardh-e-Hasanah is an interest free loan. In qardhul hasan, the borrower only repays the principal amount. In principle, it is permissible to waive of a loan as a gift or donation.1”

Ask Imaam · 31 fatawa from 4 Darul Iftas on this

What the Darul Iftas say

Same question, other Darul Iftas

The closest match from each Darul Ifta, found by wording. Check that the question matches yours.

Compare the answers side by side

Related fatawa