Concept of Maqasid Al-Syariah Essay

1. In directly meaning Maqasid Al-Syariah can be define as the objectives of Islamic law. However, in linguistic meaning Maqasid is define as follow, a goal or as an inspiration meanwhile Al-Syariah is define as the law that God reveal to Muhammad involving all aspects of life such as family institution, in finance or it can say the way of a Muslims live their life.

In together term Maqasid Al-Syariah carriers the meaning based on its constituent part, of the goal and objectives which are reason for legislation of the rule of Islam.

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As we known all law in Islam has wisdom behind them and not randomly legislated or without purpose. These terms are back bone to this concept. They are Illah and Hikmah.

Illah; in linguistically has two meaning. A sickness and a reason or causes. In definition Illah is a law that exist because of the reason or it impact in bad ways. As an example is prohibition of drinking alcohol is due to it give bad effects to our health and mental stability.

Allah prohibits us to drink Alcohol in order to avoid us losing our insanity and doing something immoral without our awareness.

Hikmah; in linguistically means wisdom or intend. This mean Islamic law has it intend even though it is not clear why Allah make a rule like that. There are some rules in Shariah for which the reason for their legislation is not clear or apparent. We do not say that there is no reason, rather which it is hidden from us and Allah with His wisdom chose not to disclose it. As an Example prayer five times daily. That not to say there are no benefits. Only Allah knows best.

2.Sources of Islamic Law

Several of sources Islamic law used by Islamic jurisprudence to clarify the Shariah. There are two main sources that can be consider as the core of Islamic law which is Al-Quran and Sunnah.However in some circumstances of jurisprudence different methods are used to judge the level of authencity which is comprise of Ijtima’ and Qias.

The Quran

Muslims believe the Quran to be the direct words of Allah, as revealed to and transmitted by the Prophet Muhammad. All sources of Islamic law must be in essential agreement with the Quran, the most fundamental source of Islamic knowledge. When the Quran itself does not speak directly or in detail about a certain subject, Muslims only then turn to alternative sources of Islamic law.

The Sunnah

Sunnah is the traditions or known practices of the Prophet Muhammad, many of which have been recorded in the volumes of Hadith literature. The resources include many things that he said, did, or agreed to — and he lived his life according to the Quran, putting the Quran into practice in his own life. During his lifetime, the Prophet’s family and companions observed him and shared with others exactly what they had seen in his words and behaviors — i.e. how he performed ablutions, how he prayed, and how he performed many other acts of worship. People also asked the Prophet directly for rulings on various matters, and he would pronounce his judgment. All of these details were passed on and recorded, to be referred to in future legal rulings. Many issues concerning personal conduct, community and family relations, political matters, etc. were addressed during the time of the Prophet, decided by him, and recorded. The Sunnah can thus clarify details of what is stated generally in the Quran.

Ijma’ (consensus)

In situations when Muslims have not been able to find a specific legal ruling in the Quran or Sunnah, the consensus of the community is sought (or at least the consensus of the legal scholars within the community). The Prophet Muhammad once said that his community (i.e. the Muslim community) would never agree on an error.

Qiyas (analogy)

In cases when something needs a legal ruling, but has not been clearly addressed in the other sources, judges may use analogy, reasoning, and legal precedent to decide new case law. This is often the case when a general principle can be applied to new situations. (See the article Smoking in Islam for an example of this process at work.)

3.Type and categories of riba and gharar

The Islamic economic system as part of spiritual activities obtains its general rules from Al Qur’an and Sunnah. Therefore, its values consist of what is allowed and leaves out what is forbidden. Some values that are forbidden in Qur’an and Sunnah are Riba (Usury) and Gharar (Uncertainty). These values are the biggest differences between Islamic economics and Capitalism and Socialism economic systems. The following is the explanation of Riba and Gharar: A. Riba (Usury)

Riba is literally translated from the Arab language and means ‘an increase, growth, augmentation or accretion,’ (Khir, Gupta, & Shanmugam, 2008, p.28), and ‘addition and expansion,’ (Al-Harran, 1993, p.16) although not all of increasing is forbidden in Islam. And as syari’ah term, it means ‘the premium’ that is paid by the borrower to the lender together with the principal of loan due to some condition and because of its addition time to maturity (Chapra, 1992). According to this definition, many scholars agree that the riba refers to ‘interest’ used commonly in economic conventional system. Types of Riba:

Scholars have divided riba into two types: 1. Riba Duyun.

This type of riba occurs in a loan or debt. Any kind of addition or increase above the amount of principal whether the addition or increase are inflicted by the lenders or willingness of the borrowers. Riba Duyun is divided in two types:


This is all increments above the amount of the principal of the loan whose amount is imposed proportionately at the beginning of the lending agreement. The addition above the amount of the principal and is due in a certain amount of time based on the loan.

b.Riba Jahiliyyah

This occurs when the increment of the principal increases as the time of loan increases. At first, there is no such fix increment, but when the borrowers want to postpone the loan or to extend the time to maturity the lenders will compel the increase of the loan. However, this addition is due to the time of maturity and can also happen along with the riba qardh above. According to this explanation riba qard and riba jahiliyyah refer to ‘interest’ because they are associated with the ‘addition or increase’ and the ‘extension’ of time to maturity. For example: Loans from the banks, credit card etc.

1. Riba Buyun

Riba buyun occurs in trading transactions. This kind of riba occurs in trading of two of the same product but in unequal amounts; or the same product in equal amounts but there is a postponement in delivery.

Types of Riba Buyun are:

a. Riba Fadhl

Riba fadhl is products that are exchanged in different amounts, number, measurement or weight without the postponement in delivery of the product or the payment. According to Khir, Gupta, & Shanmugam (2008) it is also called Riba of Excess (p.31). Riba fadhl can happen in the purchase and sale of different products, but the quantity or the amount of products that is exchanged are different. The difference in the quantity or the amount is unjust and dishonest which is prohibited in Islam. Riba fadhl can be avoided if the goods exchanged are equal in amount, number, quantity, and measurement.

b. Riba Nasi’ah (Riba Yad)

According to Khir, Gupta, & Shanmugam (2008), this is a kind of riba happens in trading in same weight, measurement and number of products, but the delivery of products, or the payment of money are delayed. However, Chapra (1992) stated that Nasi’ah come from nasa’a means ‘to postpone, defer, or wait’ (p.35), and refers to the time the borrower returns the loan with the addition. And he argues that this is interest in a conventional system. Although there are some explanations and definitions about types of riba, basically the meaning is same; because in concluding knowledge, scholars is usually referred to as Ijma’ Ulama (the teaching from Scholars who have well known about their knowledge in Islamic Jurisprudence).

Motivation in prohibition of Riba: Islam is very concerned with human prosperity. Therefore, it would not forbid something without any explanation for the prohibition. Although riba does not just refer to interest, but the term of riba is used to explain interest. The following is the reason why riba is prohibited in Islam:

1. An interest based system damages equity. Interest will force the borrowers to pay additional money above the principal; while the borrowers do not have a positive profit from their loan used in business. Therefore, the interest rate will increase the money of rich people.

2. Interest based systems dissuade people to open a new business. Interest rates will cause people to hesitate in finding something new or in opening a new venture because the new business does not yet have a positive return. On the other hand, the owner must pay definite payments to the lenders.

3. Interest based systems set profit to one side and ignores the other side. Much like banks, they are just concerned about their returns and don’t care about loss or profit of the borrowers.

4. Interest based systems depress investment activity. Interest will increase investment costs.

5. Interest based systems add securities to the lenders rather than participate in development. For example: For safety lending reasons, banks tend to provide loans to the most profitable business or company that have been in existence for a long time and are less concerned with small enterprises that are new in the market.

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