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Constitution of the Caliphate State for Android

Constitution of the Caliphate State / Economic System

Article 166: Own independent currency, and not linked to any foreign currency.

 The Constitution of the Caliphate State, Article 166: The State issues its own independent currency, and it is not permitted for it to be linked to any foreign currency.

The evidence for the first half of this article is the evidence that gave the Imam the right to manage the affairs with the words of the Prophet صلى الله عليه وآله وسلم:

«الإِمَامُ رَاعٍ»

“The Imam is a guardian” (reported by Al-Bukhari from ‘Abd Allah Bin Umar), and organising the permitted issues is from the management of the affairs. To create a specific currency for the State is from the permitted issues, so it is permitted for the State to create a specific currency, and in the same way it is permitted for the State not to do so. The Messenger صلى الله عليه وآله وسلم did not create a specific currency based upon specific consistent characteristics, and in his صلى الله عليه وآله وسلمtime the State did not have its own currency, and the situation remained the same throughout his time and the time of the righteous guided Khulafaa’ after him, and during the beginning of the Ummayad period up until the time of ‘Abd alMalik b. Marwan who decided to change everything from the gold and silver that was being used, whether minted or not, to the currency with an Islamic minting and of equal weight without any disparity. Consequently, he minted Dirhams from silver and Dinars from gold, and from that time the Islamic Dinars and Dirhams were minted whereas they were not known before then. So to issue a currency is permitted and is not obligatory upon the State, unless safeguarding the economy of the land from ruin and protecting it from its enemies required the issuing of a currency, at which point its issuance would be obligatory, in accordance with the Shari’ah principle: “That, without which the obligation cannot be accomplished, is itself an obligation.

As for the second part of the article, the evidence for its forbiddance is that it would make the State follow whichever disbelieving state it links its currency too, as was the scenario when Iraq used to be linked to Sterling, and over and above that it would be at the mercy of that disbelieving state from the financial angle. Both of these issues are forbidden, and the Shari’ah principle states that: “The means to something forbidden is also forbidden, and so to link the currency of the Islamic State to a foreign State is forbidden.

Some articles of the Constitution

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Article 155: Estimation of wages

Article 155:The salary is to be determined according to the benefit of the work, or the benefit of the employee, and not according to the knowledge and/or qualifications of the employee. There have to be no annual increments for employees. Instead, they have to be given the full value of the salary they deserve for the work they do. more
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Article 189: Considerations relationship with the States

Article 189: The relationship of the State with other states present in the world is built upon four considerations. These are: 1- The existing states in the Islamic world are considered to be part of one land and therefore they are not included within the sphere of foreign affairs. Relations with these countries are not considered to be in the realm of foreign policy and it is obligatory to work… more
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Article 95: Judicial rulings before the Caliphate

Article 95: The contracts, transactions, and verdicts which were ratified and whose implementation was completed before the establishment of the Khilafah are not nullified by the judges of the Khilafah and nor do they review them, unless a case: Has a continued effect which contradicts Islam, so it is obligatory to review it. Or if it was connected with harm to Islam and the Muslims which was… more
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Article 168: Exchange and trade of funds

Article 168: It is permissible to have exchange between the State currency and the currency of other states like the exchange between the State’s own coinages. It is permissible for the exchange rate between two currencies to differ provided the currencies are different from each other. However, such transactions must be undertaken in a hand-to-hand manner and constitute a direct transaction with… more
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Article 138: Property of Factories

Article 138: Factories by their nature are private property. However, they follow the rule of the product that they are producing. If the product is private property then the factory is considered to be private property, such as textile factories. If the product is public property then the factory is considered public property, such as factories for iron ore production. more
The Constitution of the Caliphate State,

Article 188: Carrying the call to Islam

Article 188: The foreign policy revolves around carrying the call to Islam; and the relationship between the State and all of the other states is built upon this basis. more
The Constitution of the Caliphate State,

Article 157: The State works to circulate the wealth amongst the citizens

Article 157: The State works to circulate the wealth amongst the subjects, and prevents it from circulating solely amongst a particular sector of society. more