Saturday, January 28, 2023
HomeBusinessIslamic Banking system approved in Malawi

Islamic Banking system approved in Malawi

The Malawi Muslim community and those who like the Islamic banking system can now afford a smile after government officially approved the system.
Among the importance of the system, is that it doesn’t demand any interest from the borrowers as is the case with non-Islamic banking systems.
Registrar of Financial Institutions Dr. Dalitso Kabambe, who is also Reserve Bank Governor, wrote in the approval document and seen by Maravi Post, that this will only be through “Window Model Only.”
“This shall entail banks offering Islamic (non-interest) Banking products, alongside conventional banking facilities,” says Kabambe.
He says in this regard, bank supervisors will shortly be engaging with each bank to provide guidance on reporting requirements of Sharia-compliant products and services.
“Once developed, the guidelines will be shared with each bank,” Kabambe said.
The International Monetary Fund (IMF) said in its recent report that Islamic Finance has the potential to spur inclusive growth, but calls for its proper regulation and supervision.
In relation to this, the Muslim Association of Malawi recently invited an expert in Islamic Finance and during the meeting facilitated by South African Mufti Ismail Ebrahim Desai, a renowned scholar in Islamic Finance and Banking.
Key features of Islamic banking include a prohibition on interest, an emphasis on ethical standards that embrace moral and social values, and the overarching principle of fairness when handling liability and business risk.
The system’s popularity in many North African and Middle Eastern countries, stems from the less speculative nature of its products.
The Maravi Post has over one billion views since its inception in December of 2009. Viewed in over 100 countries Follow US: Twitter @maravipost Facebook Page : maravipost Instagram: maravipost    
RELATED ARTICLES

Most Popular

Recent Comments

The History of online Casinos – Agora Poker – hao029 on The History of online Casinos
Five factors that will determine #NigeriaDecides2023 - NEWSCABAL on Leadership Is Difficult Because Governance Is Very Stubborn, By Owei Lakemfa
Asal Usul Texas Holdem Poker – Agora Poker – hao029 on The Origins of Texas Holdem Poker
Malawi has asked Mike Tyson to be its cannabis ambassador - Techio on Malawi lawmaker Chomanika against Mike Tyson’s appointment as Cannabis Brand Ambassador over sex offence
Finley Mbella on Brand Chakwera leaks Part 1
Maria Eduarda Bernardo on The 2021 Guide to Trading Forex Online
Atsogo Kemso, Political Foot Soldier on Why MCP and UTM Alliance Will Fail
Em. Prof. Willem Van Cotthem - Ghent University, Belgium on Malawi army, National bank cover Chilumba barrack with trees
Christopher Murdock on Why dating older woman is dangerous?
Samantha The Hammer on Why dating older woman is dangerous?
Muhindo Isevahani on The Cold War Against TB Joshua
JCON/SCOAN/BKN(888/8885/8808) on The Cold War Against TB Joshua
Keen Observer on Jesse Kabwila, Then and Now
Francesco Sinibaldi on Advertising in 2020 and beyond
VICTORIA NAMENE FILLIPUS on Is TB Joshua not another religious fraudster?
Luzzet on