SBP, NBP to withdraw petitions against judgment of interest-free banking: Dar

Minister for Finance and Revenue Senator Muhammed Ishaq Dar on Wednesday said that the State Bank of Pakistan and the National Bank of Pakistan would withdraw their petitions from the Supreme Court of Pakistan against the judgment of the Federal Shariat Court in which the Court had ordered the implementation of the interest-free banking system in the country.
The minister said that in this regard he held several meetings and detailed discussions with the Governor, State Bank of Pakistan and under the special directives of the prime minister, it was decided that both the SBP and NBP would withdraw their petitions against the decision.
He said that the government would also expedite its efforts to introduce a Shariah-compliant banking system in the country for rapid growth and promotion of Islamic banking and finance.
He further informed that during 2013-18 several steps were being taken to promote the Islamic economic system and a special committee comprising on Islamic scholars were also formed, adding that the Islamic Banking system also observed significant growth and progress at that time.
However, he said that for the last few years the sector was completely neglected and no further progress was witnessed, adding that the promotion of the Islamic economic system and interest-free banking was the top priority of the incumbent government

He said that the government was also determined to overcome all the challenges faced by introducing an interest-free banking system and it will take all possible measures to take forward the interest-free banking and economy for the prosperity of the nation.
The minister also congratulated the nation on the victory of the Pakistan cricket team against New Zealand.

Meanwhile, Prime Minister’s Special Representative for Interfaith Harmony and Middle East Hafiz Muhammad Tahir Mehmood Ashrafi on Wednesday welcomed the initiative of the government to withdraw the application against the Federal Shariat Court (FSC)’s decision on usury from the Supreme Court.

Ashrafi, who is also the Chairman of Pakistan Ulema Council, thanked Prime Minister Muhammad Shehbaz Sharif, particularly, Minister for Finance Mohammad Ishaq Dar to take such a bold step, abrogating the interest-based banking system in the country.

He said the withdrawal of the application from the apex court would pave the way to establish an Islamic society in the light of Quran and Sunnah.

He said it was a long-awaited desire of the people that the financial system of the country should be interest-free.

He said the elimination of Riba (interest) would give an unprecedented boost to Pakistan’s economy and take the country to new heights of economic development and prosperity.

Ashrafi assured his all-out support to the government’s economic team on the behalf of Ulema and Mashaykh to bring reforms in the banking system as per Islamic injunctions.