I have not yet seen this type of division of loans in the...

I have not yet seen this type of division of loans in the contemporary works of Shi'i jurists nor am I familiar with any basis for such a division in the primary shariah sources. The only scholar to my knowledge who has discussed these two types of loan is Shaykh Murtadha Mutahhari in his Mas' ala-e Riba. [^5] Even he has concluded that the Islamic prohibition of riba covers both types of loans: qarz-e masrafi (loan for consumption) as well as qarz-e tawlidi (loan for investment).

So then how can Muslim businesspeople get loans for investment? The most practical way would be to use the mudaraba partnership…