Interest Free Banking: IIBFI delegation meets Amer Ali Khan

RBI Committee on Medium term Path for Financial Inclusion has recommended that commercial banks in India may be enabled to open specialised interest-free windows. However public response on the recommendation is being sought to know how many people of the country are in favour of interest free banking system. An interest-free window is simply a window within a conventional bank through which customers can conduct business utilising only Shariah-compatible instruments.

A delegation of Institute of Islamic Banking Finance and Insurance (an institute striving to get huge positive response from public on committee’s recommendation) called on Siasat news editor Mr. Amer Ali Khan. The delegation requested Mr. Amer Ali Khan to support them in their cause. Mr. Khan welcomed the delegation and lauded the efforts of the institute. He also assured his utmost cooperation.

Mohammed Asim Farooq and M S Shareef told that time is short hence there is an urgent need for public awareness. As Siasat’s 12% Muslim reservation campaign became a huge success, similar campaign is also needed for interest free banking to create awareness among public and this could be effectively done by non other than the dynamic personality like Mr. Amer Ali Khan.

The delegation of IIBFI informed that RBI had set up a committee which had recommended that banks open a separate window offering interest-free deposits and advances to address financial exclusion based on faith.

Further details can be availed at www.iibfi.com