Fostering of awareness about Islamic mode of banking urged

RAWALPINDI, March 21: A seminar in collaboration with Bank Alfalah Islami was organized at the Rawalpindi Chamber of Commerce and Industry (RCCI) for fostering awareness about the Islamic banking. The Shariah board chairman and adviser of the Bank Alfalah Islamic, Mufti Dr. Khalil Azami who was chief guest on the occasion said that such seminars contribute towards dissemination of the required information among the people regarding Islamic mode of banking.Mufti Khalil Azami was of the view that when people will be attracted toward Islamic Banking in a large number to avoid interest, which is prohibited in Islam, they will start following the Islamic teaching in its letter and spirit. This will help us to build a true Muslim welfare state, he added.He said that economic justice require a workable economic system supported by a proficient banking system, interest base banking is inefficient because interest result in concentration of wealth which is not permissible in Islamic system.He said that the major distinction in 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 informed the participants that Islamic banking has a variety of products covering all what is being offered by a conventional bank. This includes, “Musharakah: contractual relationship, Mudarabah: partnership, Murabaha: non-participatory, client on cost-plus basis, Ijarah: client takes on rent and pays back episodic rent, Salam: contract of advanced payment against delayed delivery goods etc.”Speaking on the occasion, acting President Saqib Rafiq said that Islamic banking had an immense potential of growth in Pakistan, adding that the subject needed profound research by the relevant experts. He also appreciated the efforts of Bank Alfalah in building capacity of its staff and creating awareness about Islamic Banking principles among customers. A short briefing on RCCI history, its contribution towards developing economic activities and its future events was also given to the participants. An interactive question and answer session was also held where participants asked questions about conventional and Islamic banking, life insurance, loans and credit cards facilities. Acting president RCCI Saqib Rafiq, former president RCCI Manzar Khurshid, member of the executive committee, Head of Retail Banking, Islamic Banking Group, Bank Alfalah Limited Mustafa Rabbani and a large number of bankers and traders were also attended the seminar. =DNA