HFM information and reviews
Octa information and reviews
FXCC information and reviews
FxPro information and reviews
FBS information and reviews
Vantage information and reviews

Top 5 Islamic Forex Brokers: Finding a Shariah-Compliant Account That Suits Your Trading Needs

Written by Senior Market Analyst Feng Zhou Feng Zhou, edited by Senior Market Analyst Stephane Dubois Stephane Dubois

Navigating the vast and dynamic landscape of the foreign currency trading industry can be a complex endeavor, particularly for Muslim investors who need to align their financial activities with the principles of Islamic finance. While the market is flooded with brokerage firms of different caliber, the challenge lies in finding a fully reliable Islamic Forex broker that caters specifically to Muslim traders' unique needs and requirements.

The following article explores the concept of Halal Forex trading, highlighting its noteworthy distinctions from traditional Forex trading. Upon establishing an informative foundation, we will present the Sharia-compliant Forex brokers offering the best Islamic account options. These featured firms have garnered immense popularity among Muslim traders, owing to their exceptional track record with this specific category of investors, solid reputation, and unwavering commitment to full regulatory compliance.

Non-Muslim Forex traders will also find this information useful since Islamic trading accounts aren't exclusive to people of the Muslim faith; they offer an interesting set of features that may benefit all foreign currency speculators. For example, we will explain the concept of "no-riba trading," synonymous with interest-free Forex trading. This option is worth exploring if you seek to avoid additional fees, especially when making long-term trades or holding positions overnight.

By presenting a comprehensive overview of Forex brokers for Muslim traders, we strive to enable investors to make informed decisions aligned with their financial goals and Islamic Forex trading principles. Rest assured that these Muslim-friendly Forex brokers are committed to upholding the highest standards, ensuring you can trade confidently and with peace of mind

Top 5 Islamic Forex Brokers: Finding a Shariah-Compliant Account That Suits Your Trading Needs

Explaining the concept of Islamic Forex trading

The emergence of core principles of Forex trading under Islamic law

One may find it hard to understand and utilize the benefits of Islamic Forex trading accounts without knowing the history and the main principles of Sharia-compliant currency trading. The rules of the Halal investment in Forex can be traced back to the teachings of Islamic finance that emerged many centuries ago in the regions influenced by the corresponding religious teachings.

One prominent historical figure contributed greatly to establishing Sharia-compliant trading conditions applied throughout all modern Islamic Forex trading platforms. Imam Abu Hanifa (699 - 767 AD) was a well-known lawyer and scholar whose ideas helped formulate the framework of modern Islamic Forex trading principles. He lived in modern-day Iraq during the historical period known as the Abbasid Caliphate (750 - 1258 AD) in Bagdad, the biggest haven for religious scholars and people of commerce.

From there, the rules of Shariah-compliant financial operations spread to other regions such as the Arabian Peninsula, Persia (present-day Iran), and Andalusia (Islamic Spain). Over the centuries, Islamic finance and trading principles have been embraced by Muslims worldwide, and Islamic Forex trading, in particular, has gained popularity globally.  

Explaining riba and gharar that are central to Islamic Forex trading guidelines

What is riba in Forex trading?

Halal Forex trading operates on a set of strict rules which set it apart from conventional foreign currency speculations. One key concept that shapes these rules is called "riba," which means the prohibition of conducting or participating in financial operations that involve charging or paying interest. According to Islamic finance, charging or receiving interest is considered exploitative and goes against the principles of fairness and economic justice.

Therefore, only riba-free Forex brokers can offer Islamic accounts and other Halal Forex investment options. Unlike conventional accounts that may accrue interest on overnight positions, Islamic trading accounts operate swap-free, where traders are not charged or paid any interest on positions held overnight.

Non-Muslim traders may consider opening Islamic accounts for riba-free trading; however, it is important to note that by opting for such accounts, they forfeit the opportunity to earn swap points. These points can provide additional benefits such as reducing trading costs, contributing to profitability in carry trading strategies, and adding diversification to investment portfolios. Swap points, calculated based on interest rate differentials, can be advantageous for traders seeking to maximize their trading performance and capitalize on potential gains from overnight positions. 

Explaining gharar or why Muslim Forex traders prefer national currencies and avoid crypto

Explaining gharar or why Muslim Forex traders prefer national currencies and avoid crypto

The second fundamentally important concept of Islamic finance is called "gharar," which is a concept that doesn't have a precise equivalent in English; it refers to uncertainty, risk, or ambiguity in contracts or transactions that may lead to disputes or unethical practices. Regarding Forex trading for Muslims, also known as Halal trading, gharar doesn't forbid trading currencies as long as it complies with Shariah laws. However, there is a nuance: Forex trading for Islamic finance implies that traders must deal only with secured assets, such as national currencies because they are backed by the full faith and credit of the issuing government.

That's why Muslim Forex traders usually trade major Forex pairs that include a national currency, such as the EUR/USD, USD/CHF, SAR/USD (Saudi riyal/US dollar), or the MYR/EUR (Malaysian ringgit/euro). By focusing on these major pairs, which involve currencies of countries with strong economic fundamentals and stability, Muslim traders can align their trading activities with the principles of Islamic finance. However, Forex brokers for Muslim traders never offer their customers an option to trade cryptocurrencies for the following reason.

The erratic and highly volatile nature of cryptocurrencies, combined with the lack of regulatory oversight and limited understanding of their intrinsic value, embodies uncertainty and ambiguity. These characteristics make crypto susceptible to speculative behavior and expose traders to high levels of risk. That is why Sharia-obedient Forex investors typically refrain from trading cryptocurrencies due to the presence of gharar as they prioritize engaging in trades with clear terms and solid fundamentals.

Muslim traders generally embrace a trading method centered on risk management and fundamental analysis. They prioritize protecting their capital and minimizing losses by actively using stop-loss orders and proper position sizing. By evaluating economic indicators and market trends, they make informed trading decisions based on long-term profitability rather than short-term fluctuations.

Criteria for choosing a suitable Islamic Forex broker

Proper regulation

Regulation is vital in ensuring that Forex brokers offering Islamic accounts comply with Sharia principles. Several regulatory bodies oversee the operations of such brokers, providing a framework for Sharia compliance. Here is a short list of top regulators for Islamic Forex brokers: 

These regulatory bodies enforce stringent standards, including transparency, client fund segregation, and fair trading practices. By choosing a regulated Islamic Forex broker, traders can have confidence in the broker's commitment to Sharia principles and the protection of their interests.

Ensuring the Shariah-compliant trading conditions

Ensuring Shariah-compliant trading conditions is important as it allows Muslim traders to engage in Forex trading while upholding their religious beliefs and principles outlined in Islamic finance. These conditions include the following:

Forex brokers, including those mentioned in the selection below, implement various measures. They offer Islamic trading accounts that operate on a no-interest basis, replacing interest charges with alternative fee structures designed to accommodate Islamic finance requirements while ensuring that brokers can cover their operational costs. One alternative fee structure is the administration fee model, where a fixed charge is applied based on the account balance or trading volume, respecting Shariah finance principles. Another option is the commission-based model, where brokers charge a fixed percentage of the trade volume or a fixed fee per trade, avoiding interest charges in line with the prohibition of riba.

Forex brokers offering Shariah-compliant trading conditions take great care in selecting the financial instruments available for trading to ensure they align with Sharia principles. They assess the underlying assets and characteristics of these instruments, considering factors such as interest-bearing components, excessive uncertainty (gharar), and involvement in prohibited industries (such as alcohol, gambling, or pork).

Lastly, the top Islamic brokers provide transparent trading conditions, including clear pricing, no hidden fees, and fair execution practices. By establishing and upholding Shariah-compliant trading conditions, brokers cater to the needs and preferences of Muslim traders while upholding the values of Islamic finance.

Getting certified by Islamic authorities

Certification from Islamic authorities is essential for Forex brokers offering Islamic accounts, as it demonstrates their commitment to providing Sharia-compliant trading services. These authorities include renowned Islamic scholars, Sharia advisory boards, and Islamic financial institutions. 

For example, prominent organizations like the Accounting and Auditing Organization for Islamic Financial Institutions (AAOIFI) and the Islamic Financial Services Board (IFSB) play a significant role in setting standards and guidelines for Islamic finance. These authorities assess various aspects of the broker's operations, such as trading conditions, fee structures, product offerings, and compliance with Sharia principles.

When Islamic Forex brokers get certified, it boosts their credibility and earns the trust of Muslim traders. It's all about giving market participants the peace of mind that their activities correspond with religious teachings. Certification from Islamic authorities helps traders make smart choices and ensures they can do Forex trading while sticking to Sharia principles and ethical standards. It's like having the green light, knowing that their chosen broker has passed the tests and meets all the requirements for providing Sharia-compliant services.

Our pick of top 5 Islamic Forex brokers


FXTMFXTM (ForexTime) acknowledges the significance of Islamic trading accounts and their role in facilitating Halal Forex trading for Muslim traders. While heeding the specific needs of this market segment, FXTM offers a range of account options designed to provide a Halal-compliant trading experience. These Forex brokers for Muslim traders include the Islamic, Swap-Free account option, ensuring that traders can engage in Forex trading while adhering to Sharia principles.

FXTM provides several account types for different trading preferences and requirements. Here are some of the available account types offered by FXTM for Muslim traders:

Islamic, Swap-Free Account:

Micro Account:

Advantage Account:

Advantage Plus Account:

By offering these account options, FXTM ensures that Muslim traders have access to various account types, allowing them to choose the one that aligns with their trading preferences and Halal requirements. The Islamic, Swap-Free account and other available account types provide transparency, fairness, and compliance with Sharia principles, enabling Muslim traders to engage in Halal Forex trading confidently.


XMXM is a reputable Forex broker that prioritizes the requirements of Muslim traders by providing a selection of Islamic, Swap-Free account options. With XM, traders have the freedom to choose from four distinct types of Islamic accounts: Micro Swap-Free, Standard Swap-Free, Ultra Low Swap-Free, and Shares Swap-Free. These account offerings are specifically tailored to align with Sharia principles, ensuring a Halal trading experience.

This Islamic Forex broker goes the extra mile in extending Swap-Free status by default to all applicable trading accounts created by clients in non-Islamic countries. To initiate the process of opening an XM Islamic, Swap-Free account, applicants can rely on the assistance of the dedicated Client Services Team, who will guide them through the necessary steps.

XM's Islamic accounts have several notable features, including a low minimum deposit requirement of $5, leverage options of up to 1:1000, and a modest inactivity fee of $5. It's important to note that traders wishing to access XM's Islamic account options must submit a special form to request the account.

By offering a range of Islamic, Swap-Free account choices, XM enables Muslim traders to participate in the Forex market without interest charges. The flexibility and accessibility of XM's Islamic accounts make them a preferred option for traders seeking a trading environment that respects their religious principles.


OctaFXOctaFX is a well-established Forex broker known for its commitment to meeting the needs of Muslim traders. With its dedication to Halal Forex trading, OctaFX offers Islamic swap-free trading on two account levels: OctaFX MT5 Swap-free and OctaFX MT4 Swap-free. OctaFX ensures that traders in non-Islamic countries can enjoy Extended Swap-free status by default on applicable trading accounts. This means that clients can engage in Forex trading without incurring any interest charges (riba) on overnight positions, aligning with the principles of Islamic finance.

This riba-fee broker provides a choice of account types to cater to different trading preferences. The OctaFX MT5 Swap-free account requires a minimum deposit of $100 and offers competitive spreads starting from 0.6 pips. Traders can enjoy a maximum leverage of 1:500 and a minimum trading volume of 0.01 lot. Similarly, the OctaFX MT4 Swap-free account requires a minimum deposit of $100 and features tight spreads of 0.6 pips. Traders can take advantage of a maximum leverage of 1:500 and a maximum trading volume of 200 lots.

With its Islamic swap-free accounts, OctaFX allows Muslim traders to feely participate in the Forex market while its reliable trading conditions and comprehensive account offerings make it a preferred choice for those seeking a Sharia-compliant trading experience.


RoboForexRoboForex provides a specialized account type known as Islamic Swap-Free accounts. These accounts are specifically designed for clients who follow the Islamic faith and are prohibited from engaging in trading with swaps due to Sharia laws. Instead of swaps, owners of Swap-Free accounts are charged a fixed commission based on the type of instrument and the number of open lots, independent of the interest rates of issuing banks.

The Swap-Free account option is available for cent and standard MetaTrader 4-based accounts, as well as for Affiliate accounts. By switching to a Swap-Free account, all other trading conditions remain unchanged, while the overnight commission is solely determined by the instrument and the volume of open positions.

To activate the "Swap-Free" service, clients need to open a MetaTrader 4-based account through their Members Area. It's important to note that the account must not have any open positions before the account type can be changed to "Swap Free." The minimum deposit requirement for RoboForex accounts is $10, and the maximum leverage available is 1:2000, offering flexibility and accessibility to traders.


FxProFxPro understands the importance of providing Islamic accounts for traders requiring swap-free trading options for religious reasons. While FxPro offers swap-free accounts, it's worth noting that fees may apply if trades on certain instruments are kept open for a specific number of days. This ensures that the broker maintains a sustainable business model while still accommodating the needs of traders who seek Islamic accounts. Islamic swap-free trading is available on FxPro's Standard trading account level. Additionally, FxPro extends swap-free status by default to all eligible trading accounts created by clients in non-Islamic countries. This ensures that traders can access Sharia-compliant trading conditions without any additional steps.

FxPro, a reputable broker, is regulated by prominent financial authorities such as the FCA (Financial Conduct Authority), CySEC (Cyprus Securities and Exchange Commission), FSCA (Financial Sector Conduct Authority), and the Securities Commission of the Bahamas. These regulatory bodies provide oversight and ensure that FxPro operates in accordance with industry standards and client protection guidelines.

With a minimum deposit requirement of $100, competitive spreads starting from 0.1 pips, and leverage of up to 1:500, FxPro offers traders the necessary tools to engage in the Forex market while adhering to their religious beliefs and enjoying a reliable and regulated trading platform.

Bottom line: Islamic Forex trading, a unique and growing market for all

In the world of Forex trading, picking the right Islamic broker can make all the difference. It's not just about finding a broker that offers Islamic accounts but one that truly understands the needs and values of Muslim traders. We've done the research and handpicked the best Islamic Forex brokers in the industry, so you can confidently navigate the markets while staying true to your faith.

These brokers have gone the extra mile to provide swap-free accounts, ensuring that you can engage in Halal trading without compromising your beliefs. They've obtained certifications from reputable Islamic authorities, guaranteeing their compliance with Shariah guidelines. With transparent and fair trading conditions, you can focus on making informed decisions and managing risks effectively.

Remember, Islamic trading is not limited to Muslim traders alone. It's a unique and rapidly growing market that values ethical and responsible trading practices. So, whether you're a Muslim trader looking for a reliable broker or simply interested in exploring a different approach to Forex trading, our selected Islamic brokers are the go-to options. Make the smart choice and align your trading journey with your values. Embrace the world of Islamic Forex trading and experience the difference these top brokers can make in your financial success.

Share: Tweet this or Share on Facebook


The Comprehensive Guide to Selecting a Reliable Broker for Financial Trading
The Comprehensive Guide to Selecting a Reliable Broker for Financial Trading

Welcome to our in-depth discussion, the third lesson in our series, where we focus on a pivotal aspect of financial trading: choosing the right broker...

Top 5 High Leverage Forex Brokers in 2023 for Those Who Want to Grow the Account Fast
Top 5 High Leverage Forex Brokers in 2023 for Those Who Want to Grow the Account Fast

The foreign currency market provides endless opportunities through price action to realize this particular aspiration if one has the skills and knows how to seize said opportunities when they present themselves...

Follow the Signals to Success: Revealing Top 5 Forex Brokers for Copy Trading in 2023
Follow the Signals to Success: Revealing Top 5 Forex Brokers for Copy Trading in 2023

Are you a beginner trader looking for an easier way to make profits in the complicated Forex market? Do you find the task of analyzing charts and staying up-to-date with economic news to be boring and tiresome?

Get Your Profits Easily: Best  Forex Brokers with Fast Withdrawals for 2023
Get Your Profits Easily: Best Forex Brokers with Fast Withdrawals for 2023

You must agree that getting a good night's sleep is easier when you know that if anything happens, you can get money from your Forex account without a delay. Paying an unexpectedly large bill, buying a birthday present at the last moment...

Forex Broker Scams in 2023: How to Avoid Being Swindled Before and After Registering with a Broker
Forex Broker Scams in 2023: How to Avoid Being Swindled Before and After Registering with a Broker

Forex broker scams remain a prevalent issue in 2023. Last year, we uncovered at least 13 Forex broker frauds, which operated in different jurisdictions, from the EU to the offshores...

Forex Regulators in 2023: Four Different Classes, Each with Its Own Benefits and Drawbacks
Forex Regulators in 2023: Four Different Classes, Each with Its Own Benefits and Drawbacks

Regulation is one of the main things in any financial market, be that stocks, commodities, indices, or Forex. The opinions about regulation are always polarized: some think there’s too much of it, and others say there’s too little...

MultiBank Group information and reviews
MultiBank Group
XM information and reviews
FP Markets information and reviews
FP Markets
FXTM information and reviews
AMarkets information and reviews
BlackBull information and reviews

© 2006-2024 Forex-Ratings.com

The usage of this website constitutes acceptance of the following legal information.
Any contracts of financial instruments offered to conclude bear high risks and may result in the full loss of the deposited funds. Prior to making transactions one should get acquainted with the risks to which they relate. All the information featured on the website (reviews, brokers' news, comments, analysis, quotes, forecasts or other information materials provided by Forex Ratings, as well as information provided by the partners), including graphical information about the forex companies, brokers and dealing desks, is intended solely for informational purposes, is not a means of advertising them, and doesn't imply direct instructions for investing. Forex Ratings shall not be liable for any loss, including unlimited loss of funds, which may arise directly or indirectly from the usage of this information. The editorial staff of the website does not bear any responsibility whatsoever for the content of the comments or reviews made by the site users about the forex companies. The entire responsibility for the contents rests with the commentators. Reprint of the materials is available only with the permission of the editorial staff.
We use cookies to improve your experience and to make your stay with us more comfortable. By using Forex-Ratings.com website you agree to the cookies policy.