Sectors That Typically Fail Screening

Certain sectors consistently fail Sharia screening due to the nature of their core business activities.

Conventional Banking & Finance

Banks, insurance companies, and financial institutions that operate on interest-based models fail at the business activity level. Interest (riba) is their primary revenue model.

Alcohol

Companies that produce, distribute, or primarily sell alcoholic beverages are excluded. This includes breweries, distilleries, and some restaurant chains where alcohol is a major revenue source.

Gambling & Gaming

Casinos, online gambling platforms, and companies whose primary revenue comes from games of chance are excluded.

Tobacco

Tobacco manufacturing and distribution is considered harmful (darar) and is excluded by most screening standards.

Adult Entertainment

Companies involved in producing or distributing adult content are excluded.

Defense & Weapons

Some screening standards exclude weapons manufacturers, particularly those producing weapons of mass destruction.

Important Nuance

Large conglomerate companies may have divisions in excluded sectors while their overall business is permissible. This is where the 5% impermissible revenue threshold becomes relevant — minor exposure may still pass screening under some standards.