Is Korea Electric Power (KEP) stock Halal?
As of the September 2026 screening, Korea Electric Power Corp. (KEP) does not meet the AAOIFI Shariah Standard No. 21 threshold for the interest-bearing debt screen, so the stock is not currently classified as Shariah compliant. It is re-screened every month and can regain compliance if its financial structure changes.
Korea Electric Power represents shares of the Korea Electric Power Corporation (KEPCO) available to investors in the United States through an American Depositary Receipt (ADR). This format allows U.S. investors to hold a stake in KEPCO, one of the largest utility companies in South Korea, without having to deal directly in foreign exchanges. KEPCO is a crucial player in the energy sector, primarily responsible for the generation, transmission, and distribution of electricity across South Korea. For Muslim investors, though, the most pressing question is simpler: is Korea Electric Power a Halal investment?
Is Korea Electric Power Shariah compliant?
Finance is the sector where Shariah screening does the most work, because Riba is not incidental here, it can be the product itself. Korea Electric Power passes the business activity screen only if its revenue comes from permissible services rather than lending at interest, and the financial screens of AAOIFI Shariah Standard No. 21 still apply in full.
Does Korea Electric Power pass the business activity test?
The activity screen is only part of the picture this month: Korea Electric Power currently fails the interest-bearing debt screen, so the overall verdict is not compliant regardless of the business itself. The watch item in this sector is the sharpest of all: revenue must come from permissible services, not from lending at interest.
Is Korea Electric Power's income Halal?
Yes, within AAOIFI's tolerance. Korea Electric Power's income from non-permissible sources stays below 5% of revenue in the September 2026 screening.
Does Korea Electric Power meet AAOIFI's debt and investment ratio requirements?
Not in full. Interest bearing debt currently exceeds the 30% cap, while the other ratio stays within it. One breach is enough to fail the screening; the ratios are reassessed monthly under our Shariah Supervisory Board.
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 What is Riba? A Clear Guide for Ethical Muslim Investing



