The technicalities of the banking system are not always easy to understand. But in Pakistan, they are made even more confusing for women who must have male witnesses present for their financial transactions, despite the law allowing for female witnesses. Private banks justify these regulations by following the lead of the State Bank of Pakistan (SBP), which requires all customers – male and female – to get forms testified by two male witnesses.
Marium* recently experienced this when she went to a private bank for a loan of 150,000 rupees. She was asked for documents from her workplace and then was told by a liabilities officer to get forms attested by two men. When she asked why female witnesses weren’t allowed, she was told the bank doesn’t accept female witnesses because of SBP regulations.
SBP regulations
SBP is the regulatory authority for all the banks operating in Pakistan and has a set of rules according to the constitution about how private financial institutions should operate. According to SBP, all policies and regulations for the banking system of Pakistan apply to men and women equally.
“There is no such policy by the SBP for requiring banks to ask for male witnesses from female customers,” Abid Qamar, the chief spokesperson for SBP told The Express Tribune. He said according to Article 17 of the 1984 Qanun-e-Shahadat Order, banks are required to treat both males and females equally.
He said if any private band violates the rules, customers should first file a complaint with the institution. They may also approach Banking Mohtasib Pakistan, a second forum for complaints against banks, or the SBP’s helpline. “No such specific criteria exist when a customer faces discriminatory behavior, however, when reported, such cases are dealt with on a case-to-case basis for their resolution,” Qamar said
Customers complain
Still, people who’ve tried to use female witnesses for simple transactions say they’ve faced challenges. “I was denied a credit card from the bank just because my form has a male and a female witness,” Fareeha, who asked to only be identified by her first name, said. According to Shariah law, four women should be an acceptable replacement for two male witnesses, but Fareeha said her bank wouldn’t accept women witnesses at all. “I don’t understand why they don’t consider the witness of women.”
Customers from various other banks shared similar stories. “I was told to bring my father or brother along,” one woman, who asked not to be identified by name, said. She later gave up on getting a car loan from the bank because of this hurdle. She said the form for financial declaration or loan has two columns for witnesses, and they must be men.
Most customers who spoke to The Express Tribune said they believe these rules are adaptations of the Qanoon-i-Shahadat (evidence legislation). According to that law, the testimony of two women is equal to one man. In practice, this should apply to banks, too. But to avoid extra work, they ask for two male witnesses instead of four female witnesses. Over time, banks have stopped giving the option of having four female witnesses, and now only accept witness statements from men.
History of reform
The law of evidence is the most discussed and significant part of procedural legal reforms. Advocates for Islamic reform in Pakistan long claimed that the 1872 Law of Evidence -- a remnant of British rule -- is un-Islamic. On January 2, 1981, President General Zia-ul-Haq declared that "what is of vital importance, in my opinion, is that the Law of Evidence should be strictly in conformity with the Qur'an and Sunnah."
The rebuilt Council of Islamic Ideology, encouraged by President Zia’s declaration, began reviewing the 1872 Evidence Law. As formulated by the council, the proposed law of evidence differed significantly from the 1872 act. Indeed, it made so many changes that Tanzil-ur-Rehman, the chairman of the council at that time, determined that it would be easier to write new legislation than revise the old version. The resulting ordinance included a lengthy chapter on Nisab-i-Shahadat, which both integrated the Hudood Ordinances' evidentiary rules and established disparities between the testimony of men and women.
Under the new law, a woman's testimony was worth half of a man's testimony. In addition, the proposed ordinance differed significantly from the 1872 statute in terms of oaths, witness purgation, evidence conditions, and punishments for retraction of evidence. But the provisions dealing with the value of men's and women's evidence received the most public attention. Many women's organizations highly opposed the proposed rule and held country-wide protests against it.
The administration at that time was in a bind. It was dedicated to developing a distinctly Islamic code of evidence that would oppose colonial power. However, the big, outspoken, and well-organized opposition of the time claimed that the proposed ordinance was unjust and un-Islamic. The administration approved a new rule of evidence that was nearly identical to the old law of evidence but was depicted as a significant departure from the past.
As a result, on October 28, 1984, President Zia-ul-Haq announced the passage of the Qanoon-i-Shahadat, claiming that it had replaced an "un-Islamic law with an Islamic law." However, a closer look at the Qanoon-i-Shahadat reveals that it only differed from the 1872 statute on one substantial point. According to Section 17 of the new law:
- In matters about financial or future obligations, if reduced to writing, the instrument shall be attested by two men, or one man and two women, so that one may remind the other, if necessary, and evidence shall be led accordingly; and
- In all other matters, the Court may accept, or act on the testimony of one man or one woman or such other evidence as to the circumstances of the case warrant.
This clause replaced section 134 of the 1872 statute, which stated that "no specific number of witnesses shall be required in any case for the evidence of any fact." The Qanoon-i-Shahadat of 1984 did not differ substantially from the 1872 Law of Evidence.
- In practice, section 17 of the 1984 act has had little impact on legal interpretation or practice. As of December 1989, no case had been filed before a Pakistani superior court based on the interpretation of this ordinance's substantial revised provision. And, given the nature of financial transaction procedures in Pakistan, none[BJ1] are expected to rise very soon. In practice, practically every financial transaction in Pakistan necessitates the countersignature of numerous individuals due to custom or rule. Indeed, bank laws expressly permit the use of witnessed signatures, and court procedures governing property transfers, loans, contracts, and other matters do so as well. As a result, the much-heralded and hotly fought Islamic Qanoon-i-Shahadat is essentially a reaffirmation of the 1872 Evidence Law. Nizam-i-Mustafa, on the other hand, has declared the 1872 Law of Evidence to be Islamic.
Private banks respond
Private banks say they only follow the rules put in place by SBP. But bank workers say they also manipulate the rules to make it easier for them in some instances. “The forms don’t have space for four witnesses and it's extra work too, so we ask the customers to get two male witnesses signed,” said an officer at a private bank, who asked to remain anonymous. He said that it’s a hassle for both banks and customers to use four female witnesses because they must collect CNIC and the signatures of four people instead of two.
Banks don’t require witnesses for opening an account or a credit card, but they do require them for changes to registered addresses, discrepancies between signatures on paperwork and CNIC, if the customer has a photo account, if the customer doesn’t want to pay Zakat, or if the customer needs a loan to buy anything such as car, house, bike or laptop.
“The form that needs witness is indemnity form and mostly used for declaration purposes and according to the Shariah law 2 male witness are required but according to the same law, four females or one male two female are also accepted,” Nadeem Shah, a liability officer at a private bank said. He added that forms at banks only have two columns, which has consolidated the practice of asking for two male witnesses. “Most of the time bank officers mention it to the customers so that they don’t have to come back with wrong witnesses,” Shah said.
According to Zaigham Sheriff, GM Personal Segment, Standard Chartered Bank Pakistan. “Our best-in-class digital onboarding platform offers women the convenience of opening an account from the comfort of their home.”
He also said that the bank is in the process of launching an exclusive proposition for women that will provide them with a wide array of products and services. He said the State Bank of Pakistan also launched financial literacy programs to create financial awareness and educate the community.