Islamic financial system can save US, world: Umari
OT, August 12, 2011 IST
Okhla Times Reporter/Okhla
At a time when American economy is unwell, questions are being raised on interest based capitalist system adopted by most of the countries in the world, including India, Europe, UK and others. Many views and theories have surfaced to extricate the global economy that is yet to rev up. Studies are on to find out an alternative system. Is there a way out? Some Muslim economists and religious leaders say they have a solution: adopt Islamic interest free economic system. Abul Fazal Enclave-based Jamaat-e-Islami Hind president Maulana Syed Jalaluddin Umari is a strong proponent of Islamic economic system.
Maulana Umari says: “The debt crisis engulfing USA and European countries is a major cause of concern for the economy of the world and it gives us an opportunity to rethink about the prevalent financial and monetary system and corrective steps wherever required, including structural changes, otherwise the situation may further worsen.”
The JEIH president explains that the prevalent financial and monetary system is fraught with structural weaknesses wherein deficit financing is covered with printing of bank notes and interest based debts. “The effects are cascading and the economy becomes further weak. The case of the USA is more dangerous because sovereign bonds, documents purchased by foreign governments, considering its economy to be stable are more than 50 per cent of its total bonds. Any failure of the financial system of the US government will badly affect a number of other countries including our country India. The lavish living standards in USA far beyond its means, its huge financial commitments to Israel, the various wars including those in Iraq and Afghanistan it has involved itself, and similar factors have eroded its capital base leading to the present situation,” he adds.
This is a natural consequence of interest based capitalist system and it calls for consideration of an alternative economic system. Islam offers the ethical interest free economic system which is an option for the world, claims Maulana Umari.
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