H

 Islamic Economic Glossary

An alternate term used for al-waqf, mostly in North Africa.

 

Speech, conversation. Tech: Speech, action, habits and events of the Prophet's life codified by his companions and enlarged and revised by later Muslims. There is a large collection of ahadith, the most authentic of which have been recorded in the six books compiled by Bukhari, Muslim, Tirmadhi, Abu Dawud, Ibn Majah and Nisai. These books are known as sihah sittah, the 'six correct compilations'. There are other collections also, the compilers of which are not regarded with comparable grace. In the process of collection and compilation of ahadith, a detailed art of evaluation of hadith developed. Later on all ahadith were graded according to the criteria accepted by the majority. Hadith is the second source of law in Islam. In Islamic economics as well, the contents of authentic ahadith are accepted as a valid source.

 

A person employed to keep guard on zakat assets. He is included in the category of ami!in and paid out of zakat funds.

 

Lit: Basic needs. Tech: In relation to the law of zakat, the shariah has exempted those assets which are required to fulfill one's basic needs. Also spoken with regard to economic role of the Islamic state. The Islamic state is responsible to provide for the basic needs of all citizens, should some of them fall short of the means.

 

Lit: To deny access, to stop, to detain. Tech: To deny the right to make use of one's own assets, in case one's activities are harmful for the collective good or one is unable to use them properly because of lunacy, minority, indebtedness or slavery. It includes restrictions on extravagance and squandering of wealth on frivolous objects. This law gives wide powers to the state for intervening into individual freedom. This executive authority, however, remains bound by the superiority of the judiciary, where one can resort to for seeking justice, in case the state has exceeded its limits.

 

Permissible. The concept of al-halal has spiritual overtones. There are activities, professions, contracts and transactions which have been explicitly prohibited (al-haram) by the Quran or the sunnah. Barring them (i.e. al-haram), all other activities, professions, transactions, etc., are al-halal (permissible). This is one of the distinctive features of the Islamic economics vis-a-vis Western economics where no such concept exists. In Western economics, all activities are judged on the touchstone of economic utility. In Islamic economics other factors, mostly moral and spiritual are also involved. An activity may be economically sound, but may not be allowed in the Islamic society if it is not permitted by the shariah.

 

Prohibited ornaments. Tech: Relating to the law of zakat, it refers to gold or silver cast into utensils or decoration pieces.

 

A bloodwit or a debt, an obligation or a responsibility that must be paid, discharged or performed, taken upon him by a person for others.

 

Transport charges. Tech: Transport charges of the tax' on agricultural land paid by the tiller in kind. During mediaeval Islam the peasant was supposed to pay the tax in cash or deliver the crop at the place designated by the government, bearing the transport charges himself. The jurists contended that this was an undesirable practice and the peasants should be exempted from it.

 

What is due to the state treasury. Tech: It refers to the taxation system in Ummayyad Iraq in which the tiller held the land under more than one lord, i.e., the local feudal lord and the state, So the term haqq bait al-mal was used in distinction with haqq al-dihqanah, which meant what was due to the local feudal lord.

 

The right of utilization or easement. Tech: The right to derive benefits gratis from the immovable property of someone else. This right has been recognized by the shariah in the spirit of generosity which members of a community should display about each other, Following are important classes of this haqq, (a)The right to obtain drinking water for self and animals from the canal privately owned by someone else, known as haqq al-shurb. (b) The right to fetch canal water from across the land owned by someone else, known as haqq al-majra, (c) The right to drain out waste water over the property of someone else, known as haqq al-masil. (d) The right of access to one's own property across the property of someone else, known as haqq al-murur. (e) The right of stopping the neighbor from carrying out such modifications in his property that may cause harm to oneself, known as haqq al1'iwar.

 

Prohibited, unlawful. See al-halal.

 

Relating to the law of zakat, it refers to agricultural produce in general.

 

Bill of exchange, promissory note, cheque, draft. Tech: A debtor passes on the responsibility of payment of his debt to a third party who owes the former a debt. Thus the responsibility of payment is ultimately shifted to a third party. Al-hawalah is a mechanism which can be usefully employed for settling international accounts by book transfer. This obviates, to a large extent, the necessity of physical transfer of cash. The term was also used, historically, in the public finance during the Abbaside period to refer to cases where the state treasury could not meet the claims presented to it and it directed its claimants to occupy a certain region for a certain period and procure their claims themselves by taxing the people. This method was also known as tasabbub. The taxes collected and transmitted to the central treasury were known as mahmul (i.e. carried to the treasury) while those assigned to the claimants or provinces were known as musabbab.

 

Endorsement of one's debt to a third party who is not a debtor of the person endorsing the debt. The term has been applied in the model of riba-free banking by some. An obvious example is the case where a cheque is written in favor of a third party and drawn upon the bank which does not have a credit balance of the cheque-writer in its books.

 

Endorsement of one's debt to a third party who is a debtor of the person endorsing the debt. The term has been used in the model of riba-free banking by some. An obvious example is the case where a cheque is written in favour of a third party and drawn upon the bank which has a credit balance of the cheque-writer in the books of the bank.

 

Used in the law of zakat for those animals engaged in carriage of goods.

 

Period for which zakat (ushr) becomes due. In case 'of cash, gold, silver, stock-in-trade and cattle, it is one year and in case of agricultural and mineral produce, it is as and when the produce is available.

 

An estimator for the green fruits and vegetables employed by the tax departments during the Abbaside period..

 

Gift, donation. Tech: Transfer of a determinate property (mal) without any material consideration. Muslims have been exhorted by the Prophet to donate gifts to others. This is one of the important values of a Muslim society. It is intended to cultivate love and co-operation among citizens rather than rivalry and competition.

 

A gift in exchange of gift without the exchange being a condition of the gift. It is a simple gift transaction except that revocation of gift cannot take place.

 

A gift on condition of an exchange. For instance, A gives a house to B on condition that B will give to A a garden belonging to B. Such a transaction partakes of the nature both of gift and sale. It is regarded as a gift in its inception, so that it will not be valid with respect to an undivided property (musha) and neither party. will acquire any right in the thing given to him before delivery of seisin. After delivery of possession by each party the transaction has all the incidents of a sale, so that neither party can revoke his act; the right of pre-emption will attach to the property and either party can return for defect the article which he has received.

 

Being mild, gentle, clement. Restraining oneself at la time when the spirit is roused to anger, Tech: Relating to mutual relations of trade, employment and qard (debt), the aggrieved party is required to keep his cool and show al-hilm towards others. It is one of the values of Muslim society.

 

Grazing lands for the cattle. Tech: Those pieces of land which are meant for the grazing of state cattle. On these plots individual ownership is not permitted. The Islamic state has an inherent right to declare any remote or commonly used meadow as al-hima. But the state cannot appropriate any individual's property for this purpose.

 

Relating to the nisab for zakat, a young (grown up) she-camel in her fourth year. Such a she-camel is fit for becoming pregnant and for carrying a load.

 

Reward, calculation, Tech: An institution throughout Muslim history to implement what is proper and to prevent what is improper. The main role of the hisbah remained the control of markets. The department of hisbah used to have a head with technical staff well-versed in various products and processes. The department was often assisted by the police. The hisbah staff used to summon recalcitrant debtors to pay their debts, prevent too-heavy charges required by ships and street porters, destroy houses that were near falling off and control weights and measures.

 

Artifices, strategic, tricks, devices.

 

Sweets offered to a sorcerer. Tech: The earnings of a fortuneteller in whatever form they may be.