Criticising the perception of Islamic banking, Finance Minister AMA Muhith on Sunday termed it ‘fraudulent’ one set up on ‘wrong perception’.
Responding to a question from Habibur Rahman Mollah (Dhaka-5) in parliament, he said, “The system appears to me absolutely fraudulent one.”
The Finance Minister, however, admitted that Islamic banking model has become popular around the world and many world-class organisations like that of the International Monetary Fund (IMF) also talks about Islamic banking. “It’s very much unfortunate.”Muhith said the ‘Riba’ (a forbidden economic system in Islam as it charged compound interest rate sans humanity) and the modern banking rate of interest are not alike as it fixes the interest rate considering the cost of fund and cost of administration.”
The Finance Minister also said he has nothing to do for stopping the Islamic banking system. “Those who think about Islam as well as its system and the Muslim Ummah only can do anything in this regard,” he added.
Muhith said this system of banking has grown up based on misconception.
Responding to a question from the same MP, the Finance Minister said so far no specific allegation has yet been received against any bank running business capitalising the religion. – UNB
All fraudulent deals the finance minister has faced during the last six years of his being in the portfolio are however all from traditional interest-based banks.
The finance minister has tried to say that modern banks do not charge compund interests as the term ‘Riba’ he referred to as forbitten in Islam, in a way to come close to what Islami Banks profess. In fact scholars at Al-Azhar and other centres of modern Islamic thought are also shedding light on this.
The learned minister may look more deep and find out why the old traditional banks have become prone to fraudulent deals to the tune of thousands of crores of taka which no Islami Bank in Bangladesh has done and also why all traditional banks including foreign banks operating in the country have Islami banking braches.
