Tawarruq: the Islamic perspective and the application in fiqh muamalat / Farah Rabbiah Ahmad … [et al.]

Fiqh Muamalat is a branch of Fiqh discipline. It is a very vast area of knowledge, yet interesting and challenging. It deals with Shariah rulings related to the area of business and financial activities that rapidly change from time to time in order to meet the changing needs of people and rapid developments throughout the worlds.

Fiqh or Islamic Jurisprudence is founded on the divine revelation of al-Qur'an and al­Sunnah i.e. the Shariah. It is a branch and application of the Shariah in the areas related to the human practices in this world. It is not developed by the Islamic jurists (fuqaha') in the course of their experiences or logical thinking merely. Therefore, prior to the discussion of Fiqh Muamalat, the reader should be explained on the relationship between the three main terms and disciplines of knowledge namely Shariah, Fiqh and Muamalat.

From a language point of view, tawarruq is said to come from the Arabic word warq or wariq or waraqa, which means silver money, dirham or silver metal. Tawarruq is used by previous generations to get silver or dirham.The word al-wariq has used in AI­Quran surah Al Kahfi, 18: 19 which means "then send one of you goes to the city with this silver money (wariq) of yours. While the word tawarruq means asking for money and it means more generally ie asking for money either from silver or gold or paper money. Moreover, it is named tawarruq because when buying the item with deferred payment, the buyer does not intend to use or take advantage of it, but only want to make it a path to way to earn cash.