Karachi: Islamic banking is first step to create awareness among public about importance of Islamic Banking system because over two hundred years long British rule on subcontinent, Muslims started to keep distance from Islamic education about modern sciences.
These views were expressed by Shariah Advisor, Bank Alflah Islamic Mufti Dr. Khalil Aazmi while addressing to a seminar on “Islamic Banking awareness program” which was organized by Mohammad Ali Jinnah University, Karachi evening program at university auditorium last evening.
Country Head, Islamic Banking, Bank Alfalah Mohammad Fahim Siddiqui, Officers Islamic Banking Circle Nasir Abbas Kazmi, Ali Raza Nemati and Chairman Computer Science Department, MAJU Ahmer Umer also addressed to the seminar.
Mufti Khalil Aazmi said that when people will attract toward Islamic Banking in a large number to avoid interest which is prohibited in Islam they will also think to follow Islamic teaching in letter & Sprit which may help us to build a true Muslim society in Pakistan.
Country Head, Islamic Banking, Mohammad Fahim Siddiqui said that earning of interest and trade are totally separate matters those who mix it with each other are wrong. He said in Islam there are certain facilities to sick people or while travelling in respect of offering Namaz or Fasting but no concession is given to those who are taking and giving interest.
He said that Riba (Interest) mean any excess consumption over and above the principle which is without due consideration. It is a premium paid to the lender in return to his for waiting as condition for the loan. He said that economic justice require a viable economic system supported by an efficient banking system, interest base banking is inefficient because interest result in concentration of wealth which is not allowed in Islamic system.
He said Islam allowed us to take profit in business not to receive interest for this reasons Islamic banks are involved in trade, we do not provide loans to depositors to take interest, and we provide loans for purchasing any item or to expend business.
He said how much profit we earn from trade; we provide 65 percent to depositor and bank take 35 percent of profit. He said that what distinguish Islamic banking is because our transactions are assets base, it is socially responsible banking because it operates under shariah restrictions and does not permit financing prohibited goods/industries. He said that Islamic banking starves evil from society because ethics and moral values play a major role in investment decisions, not a choice but a must.
Later on Chairman, Computer Science Department, MAJU Ahmer Umar thanked Bank Alfalah Islamic officials for providing valuable information about Islamic banking.