Yahia Abdul-Rahman is a key figure in the development of Islamic finance in the United States. He founded The American Finance House Lariba in 1987, one of the first institutions in the U.S. offering non-interest-bearing financial services in line with Islamic principles. With a background in both conventional and Islamic banking, he has been instrumental in pioneering Sharia-compliant financial practices, which reject “riba” (interest). He is also the author of several books on Islamic finance, promoting ethical economic practices and the growth of riba-free economies worldwide.
Early Life and Education:
Born in Egypt, Yahia Abdul-Rahman pursued higher education in engineering and economics. He holds a Bachelor’s Degree in Engineering from Cairo University and completed his Master’s in Management from the University of California, Los Angeles (UCLA). His interest in finance grew out of his engineering background and understanding of systemic economic models, which led him to explore ways of aligning banking practices with Islamic values.
Islamic Finance and Lariba:
In 1987, Yahia Abdul-Rahman founded The American Finance House Lariba, which stands for “Lending And Riba-Free American Finance House.” This financial institution was created to offer Islamic financial solutions based on ethical principles, particularly avoiding interest-based transactions, which are prohibited in Islam. Lariba operates on the basis of profit-sharing rather than interest-based lending, offering an alternative model that promotes socially responsible and equitable banking practices.
Lariba’s pioneering model is based on the idea of mutual risk-sharing between the lender and borrower, which Abdul-Rahman believes creates a more ethical and fair system of financial management. This system has been particularly appealing to Muslim Americans seeking financial services that align with their religious beliefs.
Contributions and Publications:
Yahia Abdul-Rahman has also authored several influential books on Islamic finance, including “The Art of Islamic Banking and Finance”, in which he outlines the theory and practice of interest-free banking, and how these principles can be applied within conventional financial systems. His writings emphasize ethical banking practices, arguing that Islamic finance offers a viable and socially responsible alternative to traditional banking models.
His thought leadership has expanded beyond Islamic finance to include broader discussions on economics, ethics, and the role of religious principles in shaping a just and equitable society.
Awards and Recognition:
Over the years, Abdul-Rahman has received various accolades for his pioneering work in Islamic finance. He has been recognized by both Islamic and conventional financial communities for his contributions to creating innovative financial solutions that are rooted in Islamic law while remaining applicable to global economic systems.
Interfaith and Community Engagement:
In addition to his work in finance, Yahia Abdul-Rahman is actively engaged in interfaith dialogue and community building. He frequently speaks at interfaith forums and educational seminars, where he promotes understanding between Muslim and non-Muslim communities through the lens of shared ethical values. His leadership has helped bridge gaps between different religious groups and fostered a greater appreciation for the role that religion can play in fostering equitable economic systems.
Legacy:
Yahia Abdul-Rahman’s vision for a riba-free economy has had a significant impact on Islamic banking, particularly in the Western world. His work with Lariba has paved the way for other Islamic financial institutions in the United States and abroad, proving that ethical, interest-free banking is not only possible but sustainable. Through his publications, advocacy, and leadership, he continues to inspire a generation of Islamic bankers and finance professionals committed to promoting socially responsible economic practices.
In summary, Yahia Abdul-Rahman has played a crucial role in shaping the Islamic finance landscape in the U.S., offering ethical alternatives to traditional banking systems while promoting religiously compliant financial services. His contributions have helped Islamic finance gain a foothold in the global economy and solidified his legacy as a leader in the field.
LinkedIn: Yahia Abdul Rahman
Watch his success story as the CEO of Lariba Bank
