We have at present substantial moneys sitting in the current account of the business.

We have made some investments in the Al Mabroor property and buffalo projects.

We do still have a large amount sitting in the current account which we do not know when we will use.

We want to invest these funds on call for maybe 30/60/90 day notice.

Would it be permissible to invest these in the so called Shariah compliant funds on call?

We do not intend using the profits earned for personal use but to pay taxes or give away in charity.

Do you know of any other avenue in which these funds can be invested in a halaal manner?



In the Name of Allah, the Most Gracious, the Most Merciful.

As-salamu ‘alaykum wa-rahmatullahi wa-barakatuh.

The investment fund scheme that you are referring to is commonly known as term deposits or time deposits. A time deposit is an interest-bearing deposit held by a bank or financial institution for a fixed term whereby the depositor can only withdraw the funds after giving notice.[1]

The opposite, sometimes known as a sight deposit or "on call" deposit, can be withdrawn at any time, without any notice or penalty.[2]

Time deposits and sight deposits (on call) are interest based investment schemes and thus, are not Shariah compliant.

It is also important to note that the contracts that represent the various modes of Islamic finance must be Shariah Compliant as well. They should not be Islamic modes of financing by name while they lack the true essence of the concept in the contract and in the implementation.


Musharakah and Mudarabah are ideal avenues for investment which you may consider in investing your wealth.


And Allah Ta’ala Knows Best


Ismaeel Bassa

Student Darul Iftaa

Durban South Africa


Checked and Approved by,
Mufti Ebrahim Desai.





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