Islamic Banking Growing At Much Faster Pace: Dr Sajjad Arshad

Interest-based banking systems must be eliminated on a fast-track basis to qualify ourselves for the blessings of Allah Almighty, said Dr. Sajjad Arshad, Senior Vice President Faisalabad Chamber of Commerce & Industry (FCCI)

FAISALABAD, (UrduPoint / Pakistan Point News - 4th Oct, 2023) Interest-based banking systems must be eliminated on a fast-track basis to qualify ourselves for the blessings of Allah Almighty, said Dr. Sajjad Arshad, Senior Vice President Faisalabad Chamber of Commerce & Industry (FCCI).

Addressing an awareness session on “Islamic banking” organized by the Meezan bank, he said that currently conventional and Islamic banking systems are working simultaneously. “The conventional banks are offering more profit but despite of the lucrative incentives, Islamic banking is growing at a much faster pace”, he said and added, "Currently the share of Islamic banking is only 19-20% and to achieve the target of hundred percent Riba-free system by 2027, we must move forward speedily."

He said that FCCI has 9,000 members which belong to 118 sectors and sub-sectors and most of them intend to switch over to Islamic banking but they have some reservations.

He stressed the need to give a clear picture of the Islamic banking and hoped that this seminar will dispel their apprehensions.

He also appreciated the role of Meezan bank in promoting Islamic banking and said that he would try to disseminate the information about Islamic banking to its 9,000 members.

Mian Muhammad Asad Ullah Area Manager introduced Meezan bank and said that it was established 21 years ago and now it has 1,000 branches in 325 cities and towns.

He said that in 2003, it was ranked 30th bank of the country but now it has jumped to the position of 3rd major bank of the country.

He said that due to extensive paperwork, it is very difficult to sell Islamic products but due to the blessings of the Allah Almighty, it is making progress by leaps and bounds.

He said that not only individuals but also the entire society would harvest the fruits of Islamic banking and it is our collective duty to promote it at all forums.

He said that most of the businessmen still have some apprehensions about Islamic banking and he would try to dispel their illogical notions.

Abdul Basit, Shariah Advisor of the Meezan bank gave a detailed presentation on Islamic banking and different Islamic products of the Meezan bank.

He also responded to the questions and queries of the participants and said that KIBOR is not un-Islamic and currently Islamic banks are also following it.

He said, "Soon we would be able to have a separate KIBOR for the Islamic banks as it is expected to grow and grab a major share of the banking industry."

Vice president Hajji Muhammad Aslam Bhalli, Mr. Bilal Tahir, Dr. AG Abbasi, Mian Abdul Waheed, Rana Asim and other members participated in the question-answer session while Senior Vice President Dr. Sajjad Arshad presented FCCI shield to Mian Muhammad Asad Ullah, Area Manager Meezan bank.