Finance Minister Ishaq Dar welcomed the Federal Shariat Court’s decision regarding ending the interest-based system, saying that the coalition government was determined to scrap the current interest-based system from the country.

“Modern banking has become a prime necessity and efforts are being made to connect every individual with the banking system,” the finance minister said addressing a seminar on “ending interest-based system”, in Karachi on Wednesday.

“The transactions can be made transparent through the banking system.”

He said that he was concerned over the appeals filed by the State Bank of Pakistan and National Bank against the court’s decision of implementing the usurious system in the country.

He said that private Islamic banks expanded their business ten times over the last few years. “Islamic banking has been successful in Pakistan, and its presence in the current banking system in the country stands around 20 to 21%,” the federal minister added.

He said that the government would gradually put an end to the interest-based system in the country, adding that fixed profit on deposits was prohibited in Islam.

“The country will not default and will be free of the interest-based system in the next five years,” he reiterated and said that the Islamic banking system had to be implemented as a successful system in the country.

He said that the previous government of PML-N had made efforts for Islamic banking system in the country.

The finance czar said that he will present the resolution presented by Mufti Taqi Usmani to Prime Minister Shehbaz Sharif.

Resolution of Mufti Taqi Usmani

Meanwhile, during the seminar, Mufti Taqi Usmani presented a resolution regarding ending the interest-based system.

The resolution said that the government should implement the decision of the FSC and that private banks and financial institutions should withdraw appeals against the court’s decision.

‘The Prime Minister should implement the Shariat Court’s decision’

JUI-F chief Maulana Fazlur Rehman also welcomed the decision of the Federal Shariat Court urging Prime Minister Shehbaz Sharif to implement the decision.

He said that the business community and industrialists should also implement this decision.