ظہورِ اسلام کے وقت عالمی تجارت اور نظام زر (بین الاقوامی تجارت میں آلۂ مبادلہ کا تدریجی ارتقاء)

World trade and monetary system at the time of emergence of Islam: Gradual evolution of medium of exchange in international trade

Abstract

Money economy had already been established in the world before the prophethood. The gold standard was used as a medium of exchange in world trade. Both gold and silver systems were in use in the Jahiliyya period. At the time of the emergence of Islam, currency centers were opened in fairs, which later laid the foundation for the banking system. Initially trade was done in the form of barter, after which gold and silver were considered as Medium of exchange. After that, the receipts issued by the money changers served as instruments of exchange, but they were not legal tender. To solve this problem, the approved institutions of the government issued legal tender which was acceptable in the entire state. Islam supports international currency to end economic exploitation. In the beginning, no other country's currency was trusted in trade. To solve this problem, merchants have introduced documents that are considered reliable in transactions. In banking terms, these documents were called instruments of credit or commercial papers. These transaction documents are called Bill of exchange, promissory note and check etc. These are accepted as currency in trading circles.