Shariah principles in banking discussed

Federal Minister for Finance and Revenue Miftah Ismail on Tuesday held a meeting with renowned Islamic scholars and exchanged views on implementation of Shariah-compliant banking system and elimination of Riba from Pakistan.

Meeting participants reviewed the current state of Islamic finance operations in the country, the Supreme Court’s order and the Federal Shariat Court’s decision on the Shariah petition, a statement issued by the finance ministry read.

They discussed and sought guidance in certain financial areas requiring more clarity for the implementation of Shariah principles in the financial system.

Mufti Muhammad Taqi Usmani and other religious scholars threw light on different aspects of the Islamic financial system and gave suggestions on designing a framework for the handling of public debt through Shariah-compliant financing/debt structure.

The scholars proposed ideas for running the banking system on Islamic lines in monetary policy, and Islamic inter-bank system. It was suggested that a separate section should be created in the finance ministry for Islamic financing.

The finance minister highlighted the directive of Prime Minister Shehbaz Sharif on the implementation of Riba-free system, endorsed the suggestions of the religious scholars and asked the relevant authorities to chalk out a plan in line with the subjects discussed in the meeting.

Published in The Express Tribune, July 20^th, 2022.

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