Is Indonesia Energy (INDO) stock Halal?

Indonesia Energy operates in the hospitality and property development sectors. The company is primarily engaged in managing and developing a portfolio of hotel properties, catering to a diverse clientele that includes tourists, business travelers, and event organizers. With a focus on the Southeast Asian market, Royalindo Investa Wijaya Tbk seeks to capitalize on the growing demand for quality hospitality services in the region. For Muslim investors, though, the most pressing question is simpler: is Indonesia Energy a Halal investment?

Is Indonesia Energy Shariah compliant?

For industrial companies like Indonesia Energy, the product is rarely the problem; aircraft, vehicles and machinery are permissible. The exposure is leverage: fleets and factories are financed, and the 30% cap that AAOIFI Shariah Standard No. 21 places on interest bearing debt is the screen that decides most verdicts in this sector.

Does Indonesia Energy pass the business activity test?

Yes. In the September 2026 screening Indonesia Energy holds an overall PASS, which a stock only earns when its core business clears the activity screen. The activity itself raises no Shariah objection; the scrutiny belongs to the financing.

Is Indonesia Energy's income Halal?

Yes, within AAOIFI's tolerance. Indonesia Energy's income from non-permissible sources stays below 5% of revenue in the September 2026 screening, and the small impure portion is handled through purification: the factor of 100% tells holders of INDO what share of each dividend to keep and what remainder to donate to charity.

Does Indonesia Energy meet AAOIFI's debt and investment ratio requirements?

Yes. Both caps hold this month: interest bearing investments and interest bearing debt each stay below 30% of market capitalisation. Because the caps move with the share price, our Shariah Supervisory Board has INDO re-screened every month, and the result above always shows the latest verdict.

Tabadulat is an ADGM regulated brokerage whose license covers Shari'a Compliant Regulated Activities, as the FSRA permission names them. New to the terminology? Gharar and Maysir, Sukuk, Zakat and purification are all explained in plain English.

New to the four screens? Read AAOIFI Standards Explained: What Makes a Stock Halal?