The Ruling on Participating in Productive and Riba-Based Companies

Question:
What is the ruling on investments in some companies and institutions, such as investments in Safola and others?

Answer:
By Allah, it used to be that there was a distinction regarding companies. Productive companies, such as factory companies, cement, iron, and dairy companies, are called productive. These are productive companies, or leasing companies, such as mass transport. There is nothing wrong with them because they are productive companies and riba (usury or interest) does not enter into them. As for riba-based companies, such as banks and riba-based financial institutions that are known to be established on riba, it is not permissible to invest in them because they are riba-based. It is well known that they are riba-based, so it is not permissible to invest in them.
As for today, rumors have multiplied that companies in general are almost never free from doubt, because they use the balances they have. They use the balances they have with banks for interest, so confusion and doubt have arisen in this matter. These are suspicious companies. A person must not invest in them; he should stay away from them because of the doubt. The Prophet (peace and blessings be upon him) said: . In fact, it has been reported that these companies use the funds before operations begin. They use them in banks before operations and before production. The result is that doubts have surrounded them. Many doubts, so staying away from them and not investing in them is safer for the religion.