Karachi: Prospect of Pakistan’s development stands interlinked with adoption of Islamic banking principles, asserted Faraz-ur-Rehman President of Korangi Association of Trade and Industry (KATI). Addressing Sirat Islamic Banking Seminar held in collaboration with Habib Metropolitan Bank, he emphasised significance of reforming Islamic banking policy to catalyse growth in sector.

He highlighted potential for augmenting banking domain through interest-free banking mechanisms. He pointed out that public’s trust in Islamic banking further solidifies viability of this financial approach, which aligns with principles of Sharia law.

 “Finance serves as fundamental precondition for advancement of any economy,” remarked Rehman. He commended recent efforts by Pakistani government to eradicate usury practices following Sharia court ruling, viewing it as welcomed stride towards modernising banking system and ensuring transparency in financial transactions.

He stressed on global evidence indicating that non-interest-based systems tend to foster more robust economic growth compared to usurious systems.

He looked forward to swift introduction of an interest-free banking system by State Bank of Pakistan. He acknowledged that this shift would not only align with Islamic principles but also potentially bring more citizens within formal banking sector. Deputy Patron-in-Chief Zubair Chhaya, senior Vice President Nighat Awan and Vice President Muslim Mohammadi aimed to foster comprehensive dialogue on role of Islamic banking in country’s economic landscape.

Senior officials from Habib Metropolitan Bank provided attendees with comprehensive insights into institution’s array of Shariah-compliant products. Additionally, they addressed prevalent ambiguities in realm of Islamic banking.

Published in The Daily National Courier, August, 25 2023

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