Yashab Institute was founded in by Shakil Ahmed Shah as a reformist religious movement in economics, advocating ijtihad as opposed to Taqlid.
اَلۡحَمۡدُ لِلّٰہِ رَبِّ الۡعٰلَمِیۡنَ۔
یشعب انسٹیٹیوٹ کا ترجمہ: 1. سب تعریفیں اللہ ہی کے لئے ہیں جو تمام جہانوں کو روزی مہیا کرنے والا ہے ۔
[قرآن/ فاتحہ/۱]
حدیث سے آیت کی وضاحت:
انس رضی اللہ عنہ کہتے ہیں کہ لوگوں نے عرض کیا: اللہ کے رسول! مہنگائی بڑھ گئی ہے لہٰذا آپ چیزوں کی قیمت طے فرما دیجئیے، تو رسول اللہ صلی اللہ علیہ وسلم نے فرمایا: “چیزوں کی قیمت طے کرنے والا تو اللہ ہی ہے، وہی روزی تنگ کرنے والا اور روزی میں اضافہ کرنے والا، روزی مہیا کرنے والا ہے، اور میری خواہش ہے کہ جب اللہ سے ملوں، تو مجھ سے کسی جانی و مالی ظلم و زیادتی کا کوئی مطالبہ کرنے والا نہ ہو“۔ [سنن ابي داود/كتاب الإجارة /حدیث: 3451]
Translation by Yashab Institute: 1. All praise is due to Allah, the Provider of sustenance to all the worlds.
[Quran/ Fatiha/1]
Explanation of the verse from the Hadith:
Anas (may Allah be pleased with him) said: The people said: O Messenger of Allah! The price of things has increased, so fix the price of things. The Messenger of Allah (blessings and peace of Allah be upon him) said: “The price of things is determined by Allah, He is the One
Market Mechanism:
Islamic View: Prices should ideally be determined by supply and demand. The Prophet Muhammad (PBUH) famously declined to fix prices during a shortage, stating that “Allah is the price-setter”.
Mercantilism: The state actively intervenes to ensure a “favourable” balance of trade, often through protectionism and granted monopolies.
Nature of Trade:
Islamic View: Trade is seen as a source of mutual benefit. It is encouraged as a means of provision, provided it is free from usury (riba), deception, and gambling.
Mercantilism: Historically viewed trade as a “zero-sum game” or a “bitter war,” where one nation’s gain was necessarily another’s loss.
Role of the State:
Islamic View: The state acts as a regulator and guardian (Hisbah). Intervention is restricted to preventing market failures like monopolies (ihtikar), hoarding, or fraud to ensure social justice.
Mercantilism: The state is the primary economic driver, strictly controlling imports/exports to accumulate bullion (gold and silver) and strengthen the central government.
Ownership and Competition:
Islamic View: Honors private property rights and individual enterprise. Muslim scholars historically opposed the ruler engaging directly in trade to avoid unfair competition with common merchants.
Mercantilism: Western mercantilist governments often granted exclusive monopolies to specific companies to manage foreign trade.