´It was nanated that Anas bin Malik said:` "Prices rose during the time of the Messenger of Allah (ﷺ), and they said: 'O Messenger of Allah, prices have risen, so fix the prices for us.' He said: 'Indeed Allah is the Musa'ir, [1] the Qabid, (Restrainer) the Basit,[2] the Razzaq (Provider). And I am hopeful that I meet my Lord and none of you are seeking (recompense from) me for an injustice involving blood or wealth."
Explanation & Benefits
Shaykh Umar Farooq Saeedi
Benefits and Issues:
Benefit:
The Messenger of Allah (sallallahu alayhi wa sallam) emphasized keeping prices according to the natural balance of market forces, especially supply and demand, and refused to fix prices despite inflation.
His statement that Allah alone is the One Who increases or decreases (the supply of things) is a matter of knowledge that predates the concepts of modern economics by centuries.
Through this, he (sallallahu alayhi wa sallam) stated a fundamental principle of economics.
And he declared the freedom of market factors to be justice and fairness.
By fixing prices, someone’s right is inevitably violated.
Therefore, abstention from it was commanded.
This hadith also shows that the remedy for inflation is that there should be blessing in the supply of goods.
The meaning of supplicating to Allah is precisely this:
that He grants blessing in the production of things,
and arranges alternative means to fulfill needs.
This is what the government should do: it should strive to increase supply to break inflation,
and seek alternative methods.
This will be a successful remedy for inflation.
Whereas, even after fixing prices, they are not adhered to in the market,
and black marketing of goods begins,
which only increases people’s suffering.
Source: Sunan Abu Dawood – Commentary by Shaykh Umar Farooq Saeedi, Page: 3451
Shaykh Safi ur-Rahman Mubarakpuri
Takhrij:
«أخرجه أبوداود، البيوع، باب في التسعير، حديث:3451، والترمذي، البيوع، حديث:1314، وابن ماجه، التجارات، حديث:2200، وابن حبان (الإحسان):7 /215، حديث:4914.»©Explanation:
This hadith shows that government control over the prices of goods is prohibited.
On one hand, if this causes harm to those engaged in trade, on the other hand, when traders withhold goods, it leads to famine.
The public becomes helpless in obtaining the necessities of life, as a result of which black marketing flourishes.
The public falls victim to economic hardship, which gives rise to restlessness, anxiety, and disorder in society.
Source: Bulugh al-Maram: Commentary by Safiur Rahman Mubarakpuri, Page: 679