The Federal Shariat Court has ordered the establishment of a Riba-free banking system in the country in accordance with Islamic teachings.
On April 12, the Federal Shariat Court reserved its decision in the case seeking a Riba (interest)-free economy in the country.
The full bench of the FSC, which included Chief Justice Muhammad Noor Meskanzai, Justice Dr. Syed Muhammad Anwar, and Justice Khadim Hussain M Shaikh, heard a number of constitutional petitions filed against the country’s Riba-based banking system and reserved its decision until the lawyers for all parties had finished their arguments.
The FSC bench declared that a Riba-free banking system can be established in the country as well as around the world.
The FSC judges ruled that banks’ interest on any type of loan falls under the category of Riba, which is forbidden in Islam.
The Shariat Appellate Bench Supreme Court of Pakistan remanded the long-running Riba case in 2002.
The verdict was announced by Justice Syed Muhammad Anwar, who stated that introducing an interest-free banking system in Pakistan is possible because it is currently used by some institutions in the country.
Sirajul Haq, the leader of Jamaat-i-Islami, hailed the Federal Shariah Court’s decision as historic, promising to put pressure on the government to implement it as soon as possible.
