For over a decade, FxScouts has been reviewing forex brokers and provided in-depth analyses. Our extensive research and unique testing methodology ensures that all broker reviews are accurate and fair with hundreds of thousands of data points generated annually. Since 2012, we’ve tested over 180 brokers across global and Ugandan markets. Our team of professionals are frequently cited in global and regional media, shaping market conversations and trends.
-
Best Forex Brokers
Our top-rated Forex brokers
-
Brokers for Beginners
Start trading here
-
Forex Demo Accounts
Learn to trade with no risk
-
Lowest Spread Brokers
Raw spreads & low commissions
-
ECN Brokers
Trade with Direct Market Access
-
No-deposit Bonuses
Live trading with no deposit
-
High Leverage Brokers
Extend your buying power
-
Islamic Account Brokers
Best accounts for Muslim traders
-
Market Maker Brokers
Fixed spreads & instant execution
-
All Trading Platforms
Find a platform that works for you
-
MetaTrader4 Brokers
The top MT4 brokers
-
MetaTrader5 Brokers
The top MT5 brokers
-
cTrader Brokers
The top cTrader brokers
-
TradingView Brokers
The top TradingView brokers
-
Forex Trading Apps
Trade on the go from your phone
-
Copy Trading Brokers
Copy professional traders
75-90% of retail traders lose money trading Forex and CFDs. You should consider whether you understand how CFDs and leveraged trading work and if you can afford the high risk of losing your money. We may receive compensation when you click on links to products we review. Please read our advertising disclosure. By using this website, you agree to our Terms of Service.
Updated: January 12, 2024Last Updated On January 12, 2024
Most traders want an Islamic Forex account because they comply with the Shari’ah prohibition on Riba, or the accumulation of interest. Some brokers try to compensate for the missed revenue that would otherwise have been generated by collecting interest, so we always look for limitations on trading opportunities, additional fees, and widened spreads. Otherwise, we focused on finding the best Islamic accounts for all types of trader, including a range of platforms, excellent trading tools and good education for beginners.
These are the best Islamic Forex accounts for 2024, according to our testing and our research.
Forex brokers with the best Islamic accounts
Scroll for more details
Broker | Broker Score | Official Site | Islamic Account | Min. Deposit | Max. Leverage | Currency Pairs | MetaTrader 4 (MT4) | MetaTrader 5 (MT5) | cTrader | Regulators | Compare |
|---|---|---|---|---|---|---|---|---|---|---|---|
 | 4.59 /5 Read Review | Visit Broker > 76% of retail CFD accounts lose money | Yes | USD 100 | 30:1 | 55 | Yes | Yes | No |       | |
 | 4.53 /5 Read Review | Visit Broker > 72.90% of retail CFD accounts lose money | Yes | USD 0 | 2000:1 | 53 | Yes | Yes | No |     | |
 | 4.45 /5 Read Review | Visit Broker > 75.33% of retail CFD accounts lose money | Yes | USD 5 | 30:1 | 57 | Yes | Yes | No |  | |
 | 4.56 /5 Read Review | Visit Broker > 70.81% of retail CFD accounts lose money | Yes | USD 200 | 30:1 | 64 | Yes | Yes | Yes |  | |
 | 4.39 /5 Read Review | Visit Broker > 78% of retail CFD accounts lose money | Yes | USD 0 | 30:1 | 57 | No | No | No |  | |
 | 4.39 /5 Read Review | Visit Broker > 71.58% of retail CFD accounts lose money | Yes | USD 100 | 30:1 | 70 | Yes | Yes | Yes | | |
 | 4.37 /5 Read Review | Visit Broker > 81% of retail CFD accounts lose money | Yes | USD 10 | 2000:1 | 62 | Yes | Yes | No |  | |
 | 4.40 /5 Read Review | Visit Broker > 79% of retail CFD accounts lose money | Yes | AUD 100 | 30:1 | 70 | Yes | Yes | Yes | | |
 | 4.58 /5 Read Review | Visit Broker > 71% of retail CFD accounts lose money | Yes | USD 100 | 30:1 | 62 | Yes | Yes | No |  | |
| | 4.58 /5 Read Review | Visit Broker > 71% of retail CFD accounts lose money | Yes | USD 100 | 30:1 | 62 | Yes | Yes | No | |
How to compare Islamic accounts
Most brokers will have an Islamic account option for clients of the Muslim faith. While these account types are simply an adaptation of the live account, trading conditions at the broker and specific modifications to the Islamic account trading conditions can potentially influence trading costs. In comparing Islamic accounts, it is important to consider:
Regulation: Regulation is the security of funds for traders. Without regulation, the broker is free to make decisions about your trading funds.
Your broker should be governed by your local regulator or a combination of other well-respected international regulators like ASIC, the FCA and MAS, who have processes in place to protect your funds.
Free swap rates: Swap fees are charged every 24 hours a position is held open. For a trading account to be considered swap-free or Shari’ah-compliant, the broker must never charge a swap fee. Select brokers will restrict swap-free trading to a period of time – usually up to 14 days after the trade was opened – and would make the account swap-free for this period. As you compare Islamic accounts, always ask the broker if there is a time-limited swap-free period for trades.
Not offered on all account types: A majority of brokers offer various live accounts, but not all of these accounts can have the swap fees removed. Always ask your broker which of the live accounts have a swap-free option. The broker can also restrict leverage for Islamic accounts.
Minimum deposit: A live account will always have a minimum deposit requirement, but occasionally brokers will increase this minimum deposit for Islamic accounts. Always check the minimum deposit for this account type before signing up.
Instrument restrictions: Brokers often restrict the trading instruments an Islamic client can trade. At AvaTrade, Islamic accounts are subject to an increased spread on all Forex pairs, and Islamic accounts can not trade cryptocurrency. Tickmill charges an Islamic account fee on exotic FX pairs.
Additional Fees: Brokers occasionally make money from the swap, and to replace lost income, the broker may take steps to increase spreads or introduce additional commissions. Here are some examples of additional fees:
FP Markets charge an admin fee of 5 USD per lot on major currency pairs per night. However, fees are not charged for the first ten nights the position is open and will only be applicable from the eleventh night.
Admirals charge a flat commission after positions are held open for longer than three nights on Islamic accounts.
If a position at Axiory is open overnight, a commission is charged instead of a typical swap. The commissions and holding period are subject to change according to market conditions and when necessary.
AvaTrade – Best Mobile Trading Experience
AvaTrade offers Islamic accounts on MT4, MT5, Webtrader and the excellent and newly designed AvaTradeGo mobile app. The AvaTradeGo app offers Ugandan forex traders an intuitive and sophisticated trading experience, with spreads as low as 0.9 pips on the EUR/USD for Islamic accounts. AvaTradeGo features an advanced dashboard, with intuitive management tools, clear charts, zoom for details, and a Market Trends feature to monitor trading trends within the AvaTrade community. The AvaProtect tool is also available in the mobile app, allowing traders to purchase loss protection for a time.
Islamic accounts at AvaTrade do require a little more setup than with other brokers. First, a normal account must be opened and funded, once this step is complete an application for an Islamic account must be made and approved. Applications are usually processed within 1-2 business days. Islamic accounts at AvaTrade are not charged swap fees or a commission, as is common with other Islamic accounts, but instead, the spread will be marked up to cover overnight fees.
Accepts Ugandan Clients. Average spread EUR/USD 0.90 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. AvaTrade Group regulated by ASIC, FSCA, B.V.I FSC & FSA.HFM (HotForex) – Best Islamic Micro Account
HFM offers Islamic accounts for all customers of Muslim faith on four of its six account types, including the Micro Account and Auto Account. Trading conditions are especially good on the Micro Account, with spreads starting at 1 pip, a low minimum deposit of 5 USD, and hedging, scalping, and copy-trading all available. While HFM’s Islamic account spreads are slightly wider than normal to cover the cost of removing the swap fee and MT5 is not supported, trading conditions are broadly similar to traditional trading accounts.
Islamic accounts do incur an additional carry charge on any position held overnight for more than 7 days. While this is not a significant cost, it does make positional trading more costly over the long term. All Islamic accounts feature market execution and maximum leverage of 1:500.
Accepts Ugandan Clients. Average spread EUR/USD 1.00 pips on trading account with lowest minimum deposit. Max leverage 2000:1. Islamic account available. MT4 & MT5 platforms supported. HF Markets Group regulated by the FSCA, FCA, FSC, CySEC and the DFSA.XM – Fast Approval Islamic Account
XM is unusual in the Forex industry in that it does not apply any extra charges for Islamic accounts. Most other brokers apply a commission or widen the spread to cover the cost of the lost swap fees. XM does neither, meaning its Islamic account has exactly the same trading conditions as a normal trading account, minus the swap fee. In addition, opening an Islamic account with XM is relatively straightforward: First, a trader must open and validate a standard account and then file a request for an Islamic account with the XM back office. Approval usually takes a matter of minutes.
XM is one of the most regulated market makers in the Forex industry and stands out for leading trading conditions, account choice, execution speed and a wide range of CFD assets available on both the MT4 and MT5 platforms. With a minimum deposit of 50 USD, traders can open the XM Ultra Low Account, where spreads start at 0.6 pips with no commission charged.
Accepts Ugandan Clients. Average spread EUR/USD 0.60 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. XM Group regulated by CySEC, ASIC, and the Belize FSC.IC Markets – Best Raw Spread Islamic Account
Unlike many other brokers, IC Markets does not charge any extra fees or commission for an Islamic account. In addition, IC Markets is one of the very few brokers that offers Islamic accounts on both the Raw Spread and commission-free account types on the MT4, MT5, and cTrader platforms.
Islamic account holders will have access to leverage of 1:500, 90 tradeable instruments, and spreads as low as 0 pips on the EUR/USD. Commissions start at 5 USD per lot traded on the Raw Spread account. Opening an Islamic account is a simple process and can be done directly from IC Market’s website, though customer service may ask for proof of Islamic faith before registering the trading account.
Accepts Ugandan Clients. Average spread EUR/USD 0.10 pips with 7 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5 & cTrader platforms supported. IC Markets is regulated by CySEC, ASIC, the SCB, and the FSA .XTB – Best Proprietary Platform for Islamic Traders
Broker Score
4.39 / 5
4.39 / 5| 🏦 Min. Deposit | USD 0 |
| 🛡️ Regulated By | CySEC, FCA, DFSA, FSC |
| 💵 Trading Cost | USD 7 |
| ⚖️ Max. Leverage | 30:1 |
| 💹 Copy Trading | No |
| 🖥️ Platforms | xStation5 |
| 💱 Instruments | Commodities, Cryptocurrencies, Stock CFDs, ETFs, Forex, Indices |
Founded in 2002, XTB is a well-regulated market maker offering trading on its award-winning platform on two market execution account types: The Standard Account and the Islamic Account. Islamic Account-holders are charged both a spread mark-up and a commission per lot. Spreads start at 0.5 pips (EUR/USD) on the Standard Account, and 0.7 pips (EUR/USD) on the Islamic Account, which is still tighter than other market makers. Islamic account holders are also charged a commission of 10 USD/lot, while Standard Account-holders are charged a commission starting at 0.08% but only on stocks and ETFs.
XTB only offers trading on its award-winning trading platform, xStation 5. Intuitive, powerful, and fast, xStation 5 introduces sentiment data directly into the platform, so traders can view the percentage of clients who are long or short, and on which instruments. It also offers powerful charting tools, one-click trading, and real-time performance statistics. Mobile versions of the platform are available on both iOS and Android and seamlessly connect to the desktop versions of the app.
Accepts Ugandan Clients. Average spread EUR/USD 0.70 pips on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. xStation5 platform supported. XTB Group is regulated by CySEC, FCA, the DFSA, the FSCA, and the IFSCFxPro – Largest Account Variety
A respected FCA-regulated broker with no dealing desk intervention, FxPro offers excellent trade execution on a variety of platforms and account choices. Islamic swap-free options are available on the MT4, cTrader and FxPro Edge account types, which feature a minimum deposit of 100 USD and leverage of up to 200:1. Spreads are relatively wide on its MT4 and FxPro Edge account types, averaging at around 1.84 pips on the EUR/USD. Spreads tighten on the cTrader Account, down to 0.31 pips, in exchange for a commission of 4.5 USD per lot. Most trades are executed in under 14 milliseconds, with 80.48% of market orders executed at the requested price, and 9.6% at a better price, known as positive slippage.
In lieu of the interest charged on overnight positions, Islamic traders will be charged a commission of 7.50 USD per lot, but this only applies after the 8th night of trading. FxPro only offers Swap-free accounts for religious purposes as per the Shariah law. In order to open an account, traders will need to provide an official document such as a Birth or Marriage certificate or an official letter from the leader of their local Muslim community.
Accepts Ugandan Clients. Average spread EUR/USD 1.40 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5, cTrader and FxPro proprietary trading platform supported. FxPro Group is regulated by FCA, CySEC, FSCA, and the SCB.FXTM – Best MT4 Islamic Forex Trading
FXTM offers three accounts on MT4 and MT5, but Islamic accounts are only available on MT4 and trading on exotic currency pairs is prohibited. Unlike many brokers, FXTM makes switching your account to an Islamic account a simple process and can be done inside the MyFXTM dashboard with a few clicks. While Islamic accounts will not be charged a swap fee, a commission is charged instead, starting at 12.90 USD per lot on the EUR/USD.
FXTM is well-regulated and offers trading on Forex, commodities, stocks, and indices. Minimum deposits are low, and spreads are generally tight, starting at 1.5 pips on the Micro Account but down to 0 pips – plus a 4 USD commission – on the Advantage Account. Islamic account users can also take advantage of FXTM’s copy-trading platform, FXTM Invest, which allows traders to follow profitable traders for a fee.
Accepts Ugandan Clients. Average spread EUR/USD 1.50 pips on trading account with lowest minimum deposit. Max leverage 2000:1. Islamic account available. MT4 & MT5 platforms supported. FXTM is regulated by CySEC, FCA, FSCA, and the FSC.FP Markets – Most Transparent Islamic Accounts
An ECN/DMA broker, FP Markets offers trading on multiple instruments, including Forex, shares, metals, commodities, and indices. Unlike many other brokers, FP Markets publishes all information about the Islamic accounts on its website, and caters to Muslim traders with two distinct Islamic account options. The swap-free account option is available on both its Raw and Standard account types on the MT4, MT5 and cTrader trading platforms.
The Islamic Standard Account requires a minimum opening balance of 100 AUD. Spreads start at 1.0 pips on the EUR/USD, and no commissions are charged on the trades. The Islamic Raw Account also has a minimum opening balance of 100 AUD, spreads starting at 0.0 pips on the EUR/USD, which is tighter than other ECN brokers, and a low commission of 3 USD per lot traded. Note that FP Markets charges administration fees on its Islamic account, which vary depending on the instrument traded. A fee of 5 USD is charged on the EUR/USD, but this will only be applicable from the eleventh night a position is held open.
Accepts Ugandan Clients. Average spread EUR/USD 0.10 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5, cTrader & IRESS platforms supported. FP Markets is regulated by the FSCA, CySEC, and ASIC.Tickmill – Best Islamic Account for Trading Majors
Tickmill’s Islamic account is especially attractive because no additional charges are made for trades on most of the major currency pairs (such as EUR/USD or USD/JPY). Be aware that trading on most minor and exotic pairs will be charged a minimum of 5 USD after a trade has been held open for three days.
Minimum deposits are also the same as traditional trading accounts 100 USD, and opening an Islamic account is a simple affair: After opening a traditional account (either Classic, Pro or VIP), a request to client support will ensure that your account is converted to an Islamic account in 1 business day.
The Tickmill Islamic account is available on MT4 and MT5 and all three of Tickmill’s account types so that Islamic traders can take advantage of the tight spreads and low commissions on the Pro and VIP Accounts.
Accepts Zambian Clients. Average spread EUR/USD 0.00 pips with 6 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 platform support. Tickmill is regulated by CySEC, FCA, FSCA, and the FSA-Seychelles.Tickmill – Best Islamic Account for Trading Majors
Tickmill’s Islamic account is especially attractive because no additional charges are made for trades on most of the major currency pairs (such as EUR/USD or USD/JPY). Be aware that trading on most minor and exotic pairs will be charged a minimum of 5 USD after a trade has been held open for three days.
Minimum deposits are also the same as traditional trading accounts 100 USD, and opening an Islamic account is a simple affair: After opening a traditional account (either Classic, Pro or VIP), a request to client support will ensure that your account is converted to an Islamic account in 1 business day.
The Tickmill Islamic account is available on MT4 and MT5 and all three of Tickmill’s account types so that Islamic traders can take advantage of the tight spreads and low commissions on the Pro and VIP Accounts.
Accepts Zambian Clients. Average spread EUR/USD 0.00 pips with 6 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 platform support. Tickmill is regulated by CySEC, FCA, FSCA, and the FSA-Seychelles.Islamic Forex Trading
There are three articles of the Islamic Mua’malat that are relevant to Forex trading:
- Riba: Prohibition of payment and receipt of interest
- Gharar: Prohibition on gambling
- Shared Risk: Both profit and losses
The key element here is the elimination of Riba – or interest on loans or assets.
Riba is central to conventional Forex trading, but according to Islamic law, or Shari’ah law, Muslims are banned from earning interest on loans. Some scholars believe that the practice of removing Riba, as brokers do on their Islamic Forex accounts, legitimises Forex trading under Shariʻah.
Islam also emphasises that when conducting business transactions, elements of uncertainty, excessive speculation and gambling should also be avoided, so it could be argued that hedging trades with Forex is also legitimate under Shari’ah. It is also widely agreed that conventional Forex transactions – if used carefully – are a very effective means of protecting banks from exposure to international risk.
Shared Risk
Another concern about the Islamic nature of Forex trading is the element of shared risk. Luckily, with Forex trading, when you trade, you are investing in an asset – the currency purchased. If this asset increases in value, you will make a profit, and if the asset loses value, you will make a loss. The result is a sharing of the benefits and losses of the currency exchange with your counterparty. From this point of view, Forex trading and Islam are compatible in terms of shared risk.
What is an Islamic Forex Account?
An Islamic Forex account is a halal Forex account which complies with the Shari’ah prohibition on Riba or the accumulation of interest. Islamic Forex accounts will not charge interest on open positions held overnight.
Across the Islamic world, many brokers offer Shari’ah-compliant accounts to make sure that your trading is not haram – though this does mean that there are a few differences when compared to traditional Forex accounts.
Islamic Forex accounts have two underlying attributes:
- Free swap rates
- No interest rate payments – or no Riba (page 2 – pdf).
Other than the above, Islamic Forex accounts usually have the same trading terms and conditions as regular Forex accounts. However, some most Forex brokers change the commercial terms of trading with them and might limit the trader from trading cryptocurrencies.
Some Forex brokers will widen their spreads on Islamic accounts to compensate for the missed revenue that would otherwise have been generated by collecting interest. Another practice, but is far rarer, is that some Forex brokers charge an up-front commission on trades instead of widening the spreads.
Which Forex broker has the best Islamic Account?
HFM’s Islamic Micro Account is the best Islamic Account for Muslims in Uganda. Trading conditions are good for an Islamic account with spreads that start at 1 pip, no commissions, and a low minimum deposit of 70 Rand.
Forex Brokers with Islamic Swap-free Accounts
There are a variety of brokers that offer Islamic accounts tailored for Muslim traders. There are usually no limitations on this account type – this means you can trade Forex, commodities, CFDs contracts and every financial instrument that complies with the Islamic financial regulations.
An important note: With most Forex brokers, you will need to open a real trading account which can then be converted into an Islamic account. Few brokers have a registration page specifically for Islamic accounts, and even fewer have Islamic demo accounts, but some brokers with clients from predominantly Muslim countries automatically create accounts as Islamic accounts.
If you are in doubt, make sure you discuss your concerns with your account manager or broker representative before you make a deposit.
Forex Rollovers and Swap Rates Explained
In the Forex market, any position held overnight generates a rollover which will be earned or paid out depending on the currency you are trading and the direction of the market. Rollover interest is a form of interest that can be credited or debited from your Forex trading account, and thus it is prohibited by Islamic financial regulations. In the financial world, this rollover is also known as the swap rate. So, Islamic Forex accounts are swap-free accounts where no overnight interest is credited or debited.
Islamic Financial Regulatory Bodies
The central financial regulatory bodies in the Islamic world are the following:
- Islamic Financial Services Board– IFSB.
- Accounting and Auditing Organization for Islamic and Financial Institutions– AAOIFI.
- International Islamic Financial Market– ISFM.
- Liquidity Management Center– LMC.
Forex brokers that are registered in Muslim majority countries often have to comply with many local regulations and are required to follow Shari’ah law, whereas Western Forex brokers have much more flexibility when it comes to the interest charged to their clients. This is why only some of the brokers offer this account type.
Summary
An Islamic Forex account, or swap-free account, is an optional account type that is often selected after signing up with a broker. They are intended for use by traders of the Islamic faith, which prohibits generating income from interest payments. Most Forex brokers can accommodate followers of the Islamic faith by offering swap-free trading accounts that are compliant with Shari’ah law.
Forex Risk Disclaimer
Trading Forex and CFDs is not suitable for all investors as it carries a high degree of risk to your capital: 75-90% of retail investors lose money trading these products. Forex and CFD transactions involve high risk due to the following factors: Leverage, market volatility, slippage arising from a lack of liquidity, inadequate trading knowledge or experience, and a lack of regulatory protection. Traders should not deposit any money that is not considered disposable income. Regardless of how much research you have done or how confident you are in your trade, there is always a substantial risk of loss. (Learn more about these risks from the UK’s regulator, the FCA, or the Australian regulator, ASIC).
Our Rating & Review Methodology
Our State of the Market Report and Directory of CFD Brokers to Avoid are the result of extensive research on over 180 Forex brokers. These resources help traders find the best Forex brokers – and steer them away from the worst ones. These resources have been compiled using over 200 data points on each broker and over 3000 hours of research. Our team conducts all research independently: Testing brokers, gathering information from broker representatives and sifting through legal documents. Learn more about how we rank brokers.
Editorial Team
Chris Cammack
Head of Content
Chris joined the company in 2019 after ten years experience in research, editorial and design for political and financial publications. His background has given him a deep knowledge of international financial markets and the geopolitics that affects them. Chris has a keen eye for editing and a voracious appetite for financial and political current affairs. He ensures that our content across all sites meets the standards of quality and transparency that our readers expect.
Alison Heyerdahl
Senior Financial Writer
Alison joined the team as a writer in 2021. She has a medical degree with a focus on physiotherapy and a bachelor’s in psychology. However, her interest in forex trading and her love for writing led her to switch careers, and she now has over eight years experience in research and content development. She has tested and reviewed 100+ brokers and has a great understanding of the Forex trading world.
Ida Hermansen
Financial Writer
Ida joined our team as a financial writer in 2023. She has a degree in Digital Marketing and a background in content writing and SEO. In addition to her marketing and writing skills, Ida also has an interest in cryptocurrencies and blockchain networks. Her interest in crypto trading led to a wider fascination with Forex technical analysis and price movement. She continues to develop her skills and knowledge in Forex trading and keeps a close eye on which Forex brokers offer the best trading environments for new traders.
Stay updated
This form has double opt in enabled. You will need to confirm your email address before being added to the list.
