comes forward to save Islamic Banking concept of Kerala: In an important development for
interest-free banking in India, the UPA Government.....
Delhi: Rajya Sabha Deputy Chairman K. Rahman Khan Wednesday said
India can learn from the innumerable success stories of Islamic
banking and this would be discussed at the Indo-Arab economic
conference to be held here Feb 3-4.
conference is being jointly organised by the Indo-Arab Economic
Co-operation Forum and the Institute of Objective Studies.
is an alternative system of banking, which ensures social justice.
There are some innumerable success stories of Islamic finance and
banking that India needs to learn from," Khan, who is also the
patron of the Indo-Arab Economic Co-operation Forum, told reporters
External Affairs Minister S.M. Krishna will inaugurate the
conference to be attended by political leaders, corporate heads,
academicians and policy formulators from India and the Arab world.
theme of the conference is 'Beyond the Meltdown: Search for
Islamic banking refers to system of banking consistent with the
principles of Islamic law or the Sharia, which prohibits the payment
or acceptance of interest fees.
said India is the safest and most secure destination for investments
and an Islamic banking system in the country could attract more
investment from the Gulf countries.
"India is best positioned to absorb almost $3.5 trillion worth of
Arab investments," he said.
said if the Islamic banking system is established in the country, it
could also attract investment from a section of Muslims who are not
interested in putting money in the banks for interest.
"Some Muslims are not putting money in the savings bank account. The
Islamic banking is the one way of alternative saving investment. We
are asking for an institutional mechanism," he said.
said a committee headed by the cabinet secretary submitted its
report on Islamic banking and investment to Prime Minister Manmohan
Singh two months ago.
committee was appointed by the prime minister a year ago.
President of Indo-Arab Economic Co-operation Manzoor Alam said:
"India is home to the world's third largest population of Muslims,
most of whom are disadvantaged, under-privileged and are looking to
the state to provide sustenance and opportunities for employment,
education and growth."
Arab investments may be channelised into the social sector
developmental projects across the states," he said.
said the Arab companies, especially the investment banks, could
teach India "a few lessons in participatory banking" that would go a
long way in giving Indian banks a more "humane face".