Stating that misconceptions about Islamic banking are widespread,
Member of Parliament ET Muhammed Basheer urged the authorities to
take initiatives to implement interest-free banking in India.
Basheer said this while inaugurating the
‘Islamic Finance Workshop’ organised by the Chartered
Professionals for Islamic Finance in Calicut.
"Islamic banking system is prevalent
in several western countries such as France, Italy, England and
the USA. But, many misunderstand the system due to the name of
‘Islam’ in front", TCN News quoted ET Basheer as saying.
"The Prime Minister and the Finance
Minister have praised the interest-free principle of Islamic
banking. But unfortunately, the Reserve Bank of India has not
given acknowledgement to it", he said.
Stating that there are a lot of
people who oppose the interest in the existing banking system, he
said, "This is a golden opportunity to bring an interest-free
system with their support."
Interestingly, a couple of years ago
some experts in India had even suggested that if the name was a
problem the government could change the name but implement the
system for the benefit of the people.