Resolution No.(163)(1/2011) by the Board of Iftaa`, Research and Islamic Studies:
"Ruling on the Sukuk of Ijarah Ending in Ownership Issued by Al-Rajihi Cement Company"
Date: 25/3/1432 AH, corresponding to 28/2/2011
All perfect praise be to Allah, The Lord of The Worlds; and may his blessings and peace be upon our Prophet Mohammad and upon all his family and companions.
On the above date, the Board reviewed the question of Al-Rajihi Cement Company-Jordan regarding the Sukuk of Ijarah ending in ownership.
After researching and deliberating, the Board decided what follows:
Taskeek is issuing documents, or financial certificates of equal value as indefinite shares in existing assets (properties, benefits, rights, or a mixture of properties, benefits, money, and debts), or will be established by virtue of initial public offering, and are issued in accordance with a Sharia-compliant contract.
Having reviewed the mechanism of issuing those Sukuk, the Board decided that they are permissible in Sharia, provided that the assets of the Ijarah are sold to the tenant for a reasonable price at the end of the leasing (Ijarah) period. Moreover, there must be no capital assurance by either party, and the Sharia rules sanctioned by the Sharia Supervisory Committee must be adhered to. And Allah Knows Best.
Chairman of the Iftaa` Board, The Grand Mufti of Jordan, Sheikh Abdulkareem Al-Khasawneh
Vice-Chairman of the Iftaa` Board, Dr. Ahmad Hilayel
Dr. Yahia Al-Botoosh/ Member
Sheikh Sa`eid Hijjawi/ Member
Dr. Mohammad Khair Al-Eesa/ Member
Judge Sari Attieh/ Member
Dr. Abdulrahman Ibdah/ Member
Dr. Mohammad Al-Ibraheem/ Member
Dr. Abdulnaser Abu Al-Basal/ Member
Dr. Mohmmad Al-Khalayleh/ Member
Dr. Mohammad Al-Gharaibeh
Sheikh Mohammad Al-Hinaiti/ Executive Secretary of the Iftaa` Board