The ancient Western philosophersвЂ”including Plato, Aristotle, both Catos, Cicero, Seneca and PlutarchвЂ”all condemned usury
Aristotle argued that вЂњa little bit of money cannot beget another,вЂќ because money had been barren, or sterile, and consequently breeding cash from cash had been unnatural. The philosophy had been reflected when you look at the civil legislation of 340 B.C. republican Rome, which outlawed interest completely.
The prohibition of interest is a well-established working principal integrated into the Islamic economic system in Islam, the criticism of usury was well established during the prophet MohammedвЂ™s life and reinforced by his teachings dating back to early 600 A.D. To this day. Present day Islamic finance institutions structure lending deals by getting into risk-sharing contracts with borrowers where return is dependent on the end result associated with the endeavor or investment, instead of a predetermined price. Read More