20000104

AlBarka to work for 'integrated Islamic financial system'

RECORDER REPORT

ISLAMABAD: The AlBarka Islamic Bank has reaffirmed compliance with Shariah, saying that its branches in Pakistan would work to develop and promote an 'integrated Islamic financial system.'

In a circular to its clients in the wake of last week's judgement of the Shariah Appellate Bench declaring Riba (usury) against the tenets of Islam, the AlBarka said compliance with the rules and principles of Islamic Shariah were "the core of the banking and financial activities" of the institution.

Operating in four principal cities of Pakistan, the bank is owned by Dallah Albarka conglomerate of Saudi Arabia and claims to have total assets exceeding $13 billion and a heavy representation in Muslim world.

The circular said for Shariah complaince, the bank owners had always sought the advice and expertise of Muslim scholars known for their knowledge and piety from all over the Islamic world.

Its recently introduced AMI Account (a Murabaha Investment Account), the bank said, was designed to earn 'Halal Profits' and had the support of Darul Ifta of the Centre of Islamic Economics and Darul Uloom at Karachi with which Maulana Dr. Mohammad Taqi Usmani, is also associated. Dr Taqi represents the religious scholars on the Shariah Appellate Bench of the Supreme Court.

The AMI, the circular reminded the bank clients, had three other Islamic products that paid profits on monthly, quarterly and half-yearly basis.

The bank was also focusing on the human resource development in "an environment of creativity and innovation" to achieve the Shariah compliance, the circular concluded.