Islamic Finance in a crunch economy
'Now is a golden opportunity for Islamic finance to provide an alternative model which, by its very nature, binds both the real and financial economies - just what the world needs right now,' Swati Taneja, conference director of the Islamic finance industry's leading global event, the twice-yearly International Islamic Finance Forum that next takes place in Istanbul from 13 -17 October 2008.
'There has never been a more interesting time for cautious investors burned in the conventional credit crunch to begin looking at what the Islamic markets have to offer,' Taneja added.
'For Islamic financial products to be compliant they avoid excessive gearing and speculation - precisely what regulators are looking for the world over in the new era we are entering.'
The Istanbul forum provides the first major opportunity for Islamic finance practitioners from around the world to assess the impact of the turmoil that has gripped international markets in recent weeks.
'In today's globalised markets financial products of all types - Islamic or conventional - are affected,' said Taneja.
'But what is clear is that Islamic finance practitioners are identifying new markets as a result and are likely to have renewed confidence in the inherent sustainability of the Islamic finance model. Some are even suggesting Islamic products could provide safe havens in these challenging times.'
Events in world markets in recent weeks have illustrated that the Islamic finance industry, cannot remain entirely immune from turmoil on global markets.
It has, however, avoided the toxic debt problems of the conventional industry.
Nevertheless, the Islamic debt market, which was doubling in size every year reaching a total of $90bn, has slowed.
In the first eight months of this year, Sukuk (Islamic bond) issuance fell to $14bn compared $23bn over the same period last year, according to Standards & Poor's.
'Some blame the credit crunch for reducing the appetite for risk while others believe restrictive definitions by prominent Islamic scholars on what constitutes Sukuk have made institutions more cautious,' Taneja said.
Whatever the reason, Sukuk are still being issued despite the uncertain markets, with most expecting these asset-based instruments to receive a lift, particular from governments.
Standard & Poor's, for example, expects total Sukuk issuance to reach $25bn this year.
Sukuk structures and capital markets will come under examination at the Istanbul forum as well as emerging Takaful development; Islamic jurisprudence; alternative asset classes including private equity and real estate; and sustainability with the greening of Islamic finance.
A special session on Turkey at the crossroads will take place at the Istanbul forum which will also examine the status of Turkey's attempts to become a member of the European Union.
The results of a study on the impact of politics on the underdevelopment of Islamic finance in Turkey will also be presented.
Posted by Eman Hassan at http://www.ameinfo.com/
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Christianity has been secularized too much. Only selected verses of Bible are spoon-fed to populace in churches.
Quran 30:39
Quran 4:161
Quran 3:130
Quran 2:175
Quran 5:90
By upholding the Law, Prophet Jesus also opposed the giving or taking of interest because the texts of the Torah expressly forbade interest.
Deuteronomy 23:19 that, "You shall not lend upon interest to your brother, interest on money, interest upon victuals, interest on anything that is lent for interest."
Quran 2:278 "O you who believe, fear Allaah and give up what interest remains due to you, if you really are believers."
In order to fulfill this divine requirement, Muslims developed an alternative system of banking, commonly known as 'Islamic Banking', which is interest-free.
However, in the verse following this one, the Jews made lending on interest to non-Jews permissible:
(Deuteronomy 23:20) "To a foreigner you may lend upon interest, but to your brother you shall not lend upon interest."
Usury (Interest)
o "If thou lend money to any of my people that is poor by thee, thou shall not be to him as an usurer, neither shall thou lay upon him usury." (Exodus 22:25)
o "But love your enemies, do good to them and lend to them without expecting to get anything back. Then your reward will be great and you will be sons of the Most High, because, he is kind to the ungrateful and the wicked" (Luke 6:35)
Allah said:
"O you who believe! Eat not interest doubled and multiplied, but fear Allah that you may be successful" (Quran 3:130)
The time is ripe to get more sympathetic ears to this alternative finance tool.
I'm British and American on my mothers side, converting to Islam would not change my national identity nor my opinions about them, why should I be expected to develope an obsessin with he history of Arab countries, it's not ike I would have a siilar obsession with south east Asia if I became Buddist. Shouldn't Musliums be be more happy about the fact that 1.2 billon embrace the religion and less upset about lack of political power. I think all this is seriously de valueing the role of religion and acheves nothin evept leaving many people confused and frustrated about their identity.
It seems Islam isn't such a bad religion, but I can hardly blame them for making such a conclusion, or blame it all on the news. If I was to convert to Islam I wouldn't suddenly feel some deep attachment to people and countries which have absolutely nothing to do with me besides the fact that they are also Muslim or develop an obsession all about some Muslim country from 800 years ago and get all exited when I hear how advanced the were. Islam is a religion, not a heritage. you could have no Islamic ancestor at all and be a Muslim or you could be descended from prophet Muhammad and not be a Muslim.
There seems to be a lot of Muslims who are trying
to enforces a so called Islamic ideology on people and yet there is absolutely nothing Koranic about any of it, Does it not say that no will enter heaven with pride. And yet much 'Islamic' media seems to Implore Muslims to become ridiculously proud and automatically be of the same opinion as them on say the history of Europe for ridiculous reasons. I use facts and my own thoughts to analyse something, if I was Muslim I'd use the Koran, facts and my own thoughts to assess, ut not some utter hypocrite professor or whatever who couldn't be more biassed if he tried and often enough isn't even an Imam. Screw the twenty first century founded ideologies it's not like Muslims believe the cultures and ideologies will get anyone into heaven and the religion won't.
Later the world can take Islamic health especially on breast feeding for strong healthy children as instructed by the Koran. After all Islam is a way of life. Heaven is under a mother's foot. That is how Islam respect their, mother, wife, sister and ladies. Only Koran illiterate Muslims downgrade their women. To the creator faith is the prime concern not the gender...