Gharar is excessive uncertainty or ambiguity in a contract — about the price, the goods, or the delivery — which Islam prohibits because it leads to disputes and unfairness.

A valid sale must be clear: what you're buying, for how much, and when you receive it. Gharar covers things like selling what you don't own or can't deliver. It's one reason speculative, leveraged contracts raise Shariah concerns.

In Pakistan: the concept shapes views on insurance, derivatives, and some online trading products.

Example: selling gold you don't actually possess, or a contract whose final price isn't fixed, introduces gharar.

Don't confuse it with: normal business risk, which is allowed — gharar is excessive, avoidable uncertainty.

Related terms: Riba · Qabz (possession) · Shariah-compliant Where you'll meet this: Is digital gold halal?