Search
Generic filters
Filter by Categories
Accounting
Banking

Islamic Finance




Mukhabara


Arabic (مخابرة) for sharecropping whereby a plot of land is rented for part of its yield (ghalla). It is a type of contract (aqd) or agreement in which the worker (farmer) supplies seeds, in addition to his labor and expertise, and the landlord provides, through lease (ijara), the plot of land to be ploughed in preparation for sowing seed and growing crops. Mukhabara may also involve cultivation of a sowed land in return for a specific portion of its produce. The rent (ujra) is paid in kind from the land’s produce.

This contract is valid and permissible but under specific conditions as defined by the majority of fuqaha (jumhur). However, Shafi’is considered it invalid due to ignorance (jahala) surrounding the amount of rent.



ABC
The last three decades have witnessed the modern rebirth of Islamic finance both in terms of literature and practice. Islamic banks and ...
Watch on Youtube
Remember to read our privacy policy before submission of your comments or any suggestions. Please keep comments relevant, respectful, and as much concise as possible. By commenting you are required to follow our community guidelines.

Comments


    Leave Your Comment

    Your email address will not be published.*