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Participate in companies and organizations

Q 2: Is it permissible to buy shares issued by companies through banks such as the shares of SABIC, Al-Mawashi, Cement and others? How can Zakah (obligatory Charity) be paid on these shares, given that some companies receive half of the value of the share.


A: It is permissible to buy shares in companies that execute transactions according to Islamic Shari`ah (Islamic Law). Paying Zakah is made according to the actual activities of the company, thus, if you buy shares in a company and it continues in business, you can ask about paying (Part No. 14; Page No. 312) Zakah after knowing the current status of the company and how it operates. May Allah grant us success. May peace and blessings be upon our Prophet Muhammad, his family, and Companions.


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