Practical Questions Regarding Khilafah

How will the state deal with economic contracts entered into before the establishment of the state?
Banking organisations

All the banking organisations based on usury i.e. riba will be closed, their accounts will be will be terminated and the principal sums without interest will be returned to their owners. Banks will be replaced by the Bait ul Maal.

Companies controlling public properties

Some companies at present operate in areas which are recognised as public property in Islam such as oil, gas, minerals, etc. Islam considers that these properties cannot be owned by individuals or private companies and will therefore be placed under the control of the state. The original investment however will be returned to the companies. The state may then allow the companies to continue to work in the areas they have built up as an expertise on a shari’ah basis but must work as agents of the state on behalf of the nation.

Companies based on unlawful contracts

Companies working in areas of private property and therefore are legitimate will be examined to see if the company contracts are lawful in Islam. If the contracts are unlawful then the companies will be terminated.

Private ownership of public activities

Public utilities such as electricity, railways will be terminated from private companies and put under the control of the Khalifah.

How will the state deal with treaties concluded by the previous government with international and regional organizations?

All treaties or promises made by the previous government will be terminated because it is forbidden for Muslims to be in a party or organisations against Islam. All the current international organisations like the United Nations, The World Bank and the International Monetary are founded on kufr (disbelief) and are against Islam. Allah (SWT) indicates:

“Hast thou not turned thy vision to those who declare that they believe in the revelations that have come to thee and to those before thee? Their real wish is to resort together for judgement in their disputes to the evil one (taghoot). Though they were ordered to reject him.” [EMQ An-nisa:60]

So Allah (SWT) has made it clear, that whoever puts his case for judgement to the evil hand, e.g. the U.N., U.S., U.K., International law or the International Court of Justice is not a real Muslim, he only claims to be one.

Other regional organisations like the Arab League, The Organisation of Islamic conference or other defence treaties are also forbidden. Whereas Islam demands that all the Muslims are united under one state i.e. the Khilafah these organisations continue in making divisions between the Muslims by recognising and defending the separate entities of the modern nation states.

How will Islam deal with other countries?

The Muslim world

The relationship with other Muslim ‘countries’ is to be considered as domestic affairs. The Khilafah will never recognise them as separate countries. All existing embassies in Muslim ‘countries’ will be closed. These territories must be united with the Khilafah under the flag of the Khilafah and no diplomatic relationship will be established with them.

Dar al kufr

All other countries in the world, east to west are considered to be Dar al Kufr (The domain of disbelief) and Dar al Harb (The domain of War). Relationships with them are dictated by what Jihad demands according to the divine law and the benefit of the Muslims.

Friendship treaties

It is allowed for the state to establish with some countries ‘friendship treaties’ and other treaties that Islam allows to facilitate to the call of Islam, provided that the Khilafah sees them in the benefit of the nation and the requirements of the divine law are observed.

USA, UK France and the like

States with whom we do not have treaties are to be considered as potential enemies and all precautions must be taken against them. This would be the case with states like the USA, Britain, Russia and France. The Islamic State will not establish diplomatic relationships with them and they will not be permitted to have their embassies in our state.


Countries that are at war with the Islamic State such as Israel must be confronted with Jihad. Their citizens are prevented from entering the Khilafah and their blood and money becomes Halal in Islam. Islam obliges all Muslims to liberate their land by any means necessary. This is what Islam says.
Military pacts

It is forbidden for the Islamic state to enter into any kind of joint military operation such as NATO. It is also forbidden for any Muslims to fight under the flag of kufr (disbelief), to shed blood for the disbeliever, to protect a disbelieving country or give the upper hand to the disbelievers such as King Fahd’s treacherous alliance with the Americans allowing them to enter Muslim land.

How will the state deal with crimes committed before the state was established?

If the crimes were committed before the state was established and the sentence had not been passed, the state will judge the case and the sentence will be passed according to sharia.

If sentences have already been passed, then the state cannot do anything unless the crimes are connected with financial cases.

As for crimes related to financial matters, that have not reached the courts, the state will order the individuals to return all properties to their original owner.

As for crimes committed by officials of the previous state against the Muslims, either by harming them physically or confiscating their properties, the state will pass sentences on them for their oppression.


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