Hawala is based on the islamic financial system which does not allow lending with interest, instead the lender must participate in the risk of the business, tak

Hawala is based on the islamic financial system which does not allow lending with interest, instead the lender must participate in the risk of the business, taking his share of profit or loss. Under a form of hawala it was possible to take a cheque from Morocco and have it cashed in China, long before such a system was available in the West.