Author: Dr. Muhammad Zia-ur-Rahman A'zami (رحمه الله)
Question:
Is it permissible for a person to purchase a certain currency and store it, then sell it later when its rate increases?
Answer:
If a person buys an item—including currency—and stores it for future sale when the price rises, and this does not cause harm to Muslims, then there is no objection to such a practice.
For example, if someone purchases Australian or Egyptian Pounds, Iraqi or Jordanian Dinars, or Saudi Riyals, and stores them, and later sells them at a higher rate with the condition of immediate exchange and handover in the transaction session (majlis al-‘aqd), then there is nothing impermissible in this.
Similarly, hoarding is only objectionable if it involves essential commodities like food and leads to harm for the Muslim community. If there is no such harm, then it is not prohibited.
[Ibn Bāz, Majmūʿ al-Fatāwā wa al-Maqālāt: 19/173]
❖ Purchasing and Storing Currency for Trade Purposes
Question:
Is it permissible for a person to purchase a certain currency and store it, then sell it later when its rate increases?
Answer:
If a person buys an item—including currency—and stores it for future sale when the price rises, and this does not cause harm to Muslims, then there is no objection to such a practice.
For example, if someone purchases Australian or Egyptian Pounds, Iraqi or Jordanian Dinars, or Saudi Riyals, and stores them, and later sells them at a higher rate with the condition of immediate exchange and handover in the transaction session (majlis al-‘aqd), then there is nothing impermissible in this.
Similarly, hoarding is only objectionable if it involves essential commodities like food and leads to harm for the Muslim community. If there is no such harm, then it is not prohibited.
[Ibn Bāz, Majmūʿ al-Fatāwā wa al-Maqālāt: 19/173]
