vedaxcool:

The cleric contended that what should be introduced by the CBN should be an interest-free banking, rather than Islamic banking, which was being favoured by a particular religion, adding that nobody should make the country an Islamic state.

when you read things like this it becomes obvious how ignorant an average cleric actually is, Britain is more secular and even anti religious in nature, yet this "cleric" failed to tell us why there are Islamic banks in the UK, hence how does Islamic bank make Nigeria a religious state, were we Muslim consulted on the type of banking we are suppose to use? interest banking remains a sin in Islam, and this sin was imposed on us? were we consulted? this is a private enterprise for God's sake how does it make the country Islamic? Clerics like this simply make true - religion is the opium of the masses- because they keep covering the eyes of the masses with things that should not be their problems.

Ovamboland:

Maybe you should also get NAFDAC to ban the production and consumption of pork in Nigeria since it is also probably a sin in Islam. Our constitution does not support government or it's agencies being involved in activities that promotes or seek to promote any religion. Only a daft person will say officially sanctioned Islamic banking with CBN seal does not promote Islam and it's virtues. Afterall we've had Esusu banking for whoever wants to patronize them without any issues.
Will CBN also find ways a means to establish Ayelala banking, Arochukwu(Long juju) banking, Orunmila finance houses, Ifa clearing house/debt recovery units etc.?
Why Islamic bank and not the above? Why not simply make laws for interest-free banking and issue licenses to existing or new banks who want to invest in them?

MyJoe:

^^^ So some Islamic banks find a way to do what all banks do. I see. More, please. Where is Sweetnecta - if he can manage it with some clarity?

Enigma:

Western financing (an aspect of Western banking):

Trader Ltd wants to buy a generator worth 10 million naira; it approaches Greedy Bank for finance; Greedy Bank says we will lend you the money but our interest and fees etc will amount to 2 million naira, so you will repay 12 million naira in 12 monthly instalments.


Islamic finance (or in legal jargon "Sharia-compliant" financing) ---- (an aspect of Islamic banking):

Trader Ltd wants to buy a generator worth 10 million naira; it wants to do it the Islamic way; it approaches Filuus Bank for Islamic finance; Filuus Bank says ok we will use an Islamic finance technique called Murabaha; we will buy the generator for the 10 million naira; then, we will resell it to you for 12 million naira, so you will repay 12 million naira in 12 monthly instalments.

Enigma:

In all honesty, I don't know about Iran or Pakistan.

However, one important word I learned within myself (in my very brief involvement) is h-y-p-o-c-r-i-s-y.

So I wouldn't be surprised if it is business as usual ---- only by other (disguised) means.

Pastor AIO:

Abeg don't call Sweetnecta here, I'm actually enjoying these discussions.

Enigma:

In fact, I will like to expand very briefly on the murabaha transaction: remember that the basics (from the video and what I first wrote) is this: the Islamic bank buys the equipment and resells at a profit to the borrower company.

In truth, we are really using legal fictions (ok legal principles): when we say the bank buys and sells the equipment --- it is all on paper: the bank does not ever need to see the equipment at all (other than title documents); rather it is the borrower who will go to the real seller of the equipment and conduct the transaction --- except that the lender's name would be inserted as the "buyer" in the purchase document and also as "seller" in the murabaha financing document.

Gimmicks, I tell ye, legal gimicks!

For the LORD sees not as man sees: man looks on the outward appearance, but the LORD looks on the heart.

LagosShia:

Holy Quran 2:275:

Those who swallow usury cannot rise up save as he ariseth whom the devil hath prostrated by (his) touch. That is because they say: Trade is just like usury; whereas Allah permitteth trading and forbiddeth usury. He unto whom an admonition from his Lord cometh, and (he) refraineth (in obedience thereto), he shall keep (the profits of) that which is past, and his affair (henceforth) is with Allah. As for him who returneth (to usury) - Such are rightful owners of the Fire. They will abide therein.

Tonye-t:

Is the idea of setting up an Islamic banking really against usury or against Profit making? because the two mean different things.

Tonye-t:

^^^ yeah Baba, no vex I was caught up with unending official chores. . .glad i rounded off today. So tomorrow we go talk plenty there.

Deal?

Enigma:

Western financing (an aspect of Western banking):

Trader Ltd wants to buy a generator worth 10 million naira; it approaches Greedy Bank for finance; Greedy Bank says we will lend you the money but our interest and fees etc will amount to 2 million naira, so you will repay 12 million naira in 12 monthly instalments.


Islamic finance (or in legal jargon "Sharia-compliant" financing) ---- (an aspect of Islamic banking):

Trader Ltd wants to buy a generator worth 10 million naira; it wants to do it the Islamic way; it approaches Filuus Bank for Islamic finance; Filuus Bank says ok we will use an Islamic finance technique called Murabaha; we will buy the generator for the 10 million naira; then, we will resell it to you for 12 million naira, so you will repay 12 million naira in 12 monthly instalments.

Joagbaje:

^^^
giving loans without any interrest may not be a the best idea. Firstly how do we sustain such institution . And secondly how can more people be helped.

Our present banking system is terrible. The interest on the loans are so high. Interest is not wrong in itself but excessive interest is bondage. Jesus himself endorsed interest in banking.

Luke 19:23
23 Then why did you not put my money in a bank, so that on my return, I might have collected it with interest?

A christian bank won't be a bad idea if the interest can be minimised. Maybe to 10% or less. But I wonder if our ores sent banks will not fight it. Banks worked with policemen to shut down some of these " quick money" banks that came up because it was affecting the big banks as customers were pulling their monies out to invest in these quick ones.

I share the opinion that it is an insertion into the gospels. Remember Jesus was a Jew and his audience were largely Jewish. And Judaism ban usury. How would Jesus say a thing like that to a Jewish audience, being Jewish himself. 'But ahhh . . .', you may argue, ' . . .maybe he meant that the money could have been used to lend to non-Jews upon usury'. However that flies in the face of everything else that Jesus taught. He didn't make a distinction between Jew and gentile, but gave us the parable of the Good Samaritan to show us who our neighbour was. If Jesus said that then he would be recommending that the money was lent upon usury to gentiles, and I do not see Jesus saying something like that.

Joagbaje:

^^^
giving loans without any interrest may not be a the best idea. Firstly how do we sustain such institution . And secondly how can more people be helped.

Our present banking system is terrible. The interest on the loans are so high. Interest is not wrong in itself but excessive interest is bondage. Jesus himself endorsed interest in banking.

Luke 19:23
23 Then why did you not put my money in a bank, so that on my return, I might have collected it with interest?

A christian bank won't be a bad idea if the interest can be minimised. Maybe to 10% or less. But I wonder if our ores sent banks will not fight it. Banks worked with policemen to shut down some of these " quick money" banks that came up because it was affecting the big banks as customers were pulling their monies out to invest in these quick ones.

when you read things like this it becomes obvious how ignorant an average cleric actually is, Britain is more secular and even anti religious in nature, yet this "cleric" failed to tell us why there are Islamic banks in the UK, hence how does Islamic bank make Nigeria a religious state, were we muslim consulted on the type of banking we are suppose to use? interest banking remains a sin in Islam, and this sin was imposed on us? were we consulted? this is a private enterprise for God's sake how does it make the country Islamic? Clerics like this simply make true - religion is the opium of the masses- because they keep covering the eyes of the masses with things that should not be their problems.

Number_One:

This foolish comparison of Nigeria to the UK is myopic. Nigeria is a country struggling with religious violence and you want to introduce something called "Islamic Banking"? Does the UK have such religious tension as Nigeria.
If they did, do you think their government will allow "Islamic Banking"? The biggest problem with Nigeria is that we like to COPY FOOLISHLY. Technology should be ADAPTED not ADOPTED. We copy both the good, bad and the ugly just because it worked somewhere else doesn't mean it will work here. There is the NIGERIAN FACTOR.

Look at the MicroFinace Banks. They were copying Bangladesh model of MicroFinacance. Look at where it has brought us. Nigeria is a UNIQUE country and as such what applies else where DOES NOT have to apply here. That's why GOD gave us BRAINS to think, but unfortunately some prefer to COPY.

Why NOT just call it "Interest Free Banking" for now, must it be called "Islamic Banking"?