KARACHI: Former Deputy Governor of State Bank of Pakistan Dr. Shahid Hasan Siddiqui has criticized the Council of Islamic Ideology for supporting the Federal Sharia Court’s decision to endorse interest-based products.
Chairman Research Institute of Islamic Banking and Finance, Dr. Shahid Hasan Siddiqui, said in a statement that the Federal Shariah Court on April 28, 2022 gave a judgment based on interest and contrary to Shariah principles, which was supported and praised by the Islamic Ideology Council.
He objected that in this decision of the Federal Shariah Court, some products of Islamic banks have been approved without research, which are not compatible with Shariah principles or include the element of interest. Under the banner of banking, the usurious system will continue to thrive.
Former Deputy Governor State Bank said that the system of Sudi banks and Islamic banks working side by side is undoubtedly un-Islamic. Article 38 (f) of the Constitution states that it is the responsibility of the state to eliminate riba from the economy as soon as possible. Therefore, with the approval of the Parliament, this provision should be added that interest in all forms falls under the category of riba. After that, the issue of usury not being forbidden will not be discussed in Sharia courts.
He emphasized that the Council of Islamic Ideology must seriously consider the fact that the Supreme Court had given time till June 30, 2002 to implement its decision of December 23, 1999 in the Riba case, but this case is still pending before the Supreme Court. There is a long delay in the court.
Dr. Shahid Hasan Siddiqui said that the powerful classes in Pakistan do not want interest to be abolished from the economy because it affects the illegitimate interests of these classes. The decision of the Federal Shariah Court on 28 April 2022 after almost 20 years is not only un-Islamic but also flawed in this decision.
He further said that on June 30, 2002, Pakistan’s total debt and liabilities were only 3856 billion rupees, which became 81000 billion rupees on 31 December 2023. Transferring these usurious loans to interest-free loans will not be an easy task. It is feared that if this decision of the Federal Sharia Court and the current policies of the government and the State Bank are maintained, then God willing, the usurious economy will be flourishing in Pakistan even at the end of this century.
Dr. Shahid Hasan Siddiqui requested the Islamic Ideological Council to review the position of supporting the decision of the Federal Sharia Court on April 28, 2022.
