Prophet Muhammad's example guides against price gouging, market manipulation

Muhammadiyah's Council for Economy and Business emphasizes Prophet Muhammad as a primary role model for business and economic dealings, particularly when facing market volatility and price increases. Mukhaer Pakkanna, the council's deputy chairman, stated that the Prophet's teachings guide how to navigate such challenges.

Pakkanna highlighted that the Prophet Muhammad exemplified principles of honesty, justice, and strongly prohibited the hoarding of goods, known as 'ihtikar.' He also rejected arbitrary price interventions. "Prophet Muhammad SAW is certainly our role model and reference in dealings, including in business. The Prophet practiced the principle of honesty (shidiq), justice, prohibited hoarding (ihtikar), and did not arbitrarily intervene in market mechanisms," Pakkanna explained.

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Rasulullah SAW is certainly our role model and reference in dealings, including in business. Rasulullah practiced the principle of honesty (shidiq), justice, prohibited hoarding (ihtikar), and did not arbitrarily intervene in market mechanisms.

He recalled an instance where companions asked the Prophet to set a price due to a market surge. However, the Prophet declined, stating that Allah is the one who determines prices and controls sustenance. "He refused and said, 'Indeed, Allah is the One who sets the price, who constricts and expands sustenance...'".

According to Pakkanna, the Prophet's stance underscores the importance of allowing prices to be determined naturally through the mutual consent of buyers and sellers, provided there is no market manipulation. This approach respects the natural flow of supply and demand without undue interference.

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He refused and said, 'Indeed, Allah is the One who sets the price, who constricts and expands sustenance...'.