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Islamic Finance




Ba’i al-Hadhir lil Badi


A type of sale (ba’i) in which a city-dweller (al-hadhir) sells on behalf of a Bedouin or a desert dweller (al-badi). In this sense, the former acts as a middleman for the latter. The city-dweller makes profit by increasing the sale price, sometimes excessively. The majority of fuqaha (jumhur) prohibited this type of sale, with the exception of Abu Hanifah and others who considered it permissible. Notwithstanding, the shari’a basis for prohibition is the price increase that may result from this sale. In its broader meaning, al-badi may also refer to a non-resident.



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