The system that have been introduced after the thorough research of several scholars and is purely based on the rationality and also justify the Shariah concept that has been given by Islam. A question comes in the mind regarding the authenticity of this Economic system as this has not been stated neither in Holy Quran nor in Sunnah. Likewise, there was also no authenticity of Hazrat Muhammad (P.B.U.H) when he left to spread the Islam in MACCA. It was the rationality and believe that help the people to identify the messenger of Allah and also indentified them that P.B.U.H came here to preach the teaching of Islam. Islamic economic system based on three systems: Theory(Quran Sharif) , Interpretation (Hadith) , Practical (Shariah)
Islamic Economics based on certain concepts. Firstly, “ Resources are unlimited and Human efforts are limited ”. Air , water , minerals , hills they are all unlimited and now it is the responsibility of the humanity that how much he can avail these resources through his efforts and knowledge. Therefore it prohibits the Wastage of Resources.
Secondly, Savings, i.e. hoarding of money, is strictly prohibited by Islam. All wealth belongs to Almighty Allah and Man is the trustee of the wealth. Money should be circulated into the economics system for multiplication through justifiable and clean means. Islamic economic system identifies the process of circulation of money as it should be multiplied first through investment, then subtract the cost of investment & need, then divide it for the social causes, and add(invest) the remaining amount into circulation again.
Thirdly, Saving that leads to investment is the identification of a healthy nation. As when the savings has been invested it is benefited to the industries and then industries increased their production which increases the profitability of the industries which finally give rise to the employment which decreases the inflation rate in the economic system as Inflation is the burden on an economy.
Islamic Economic System clearly rejects the concept that are against the DEEN (ISLAM) . Firstly, Riba , i.e. earning on money through unjustifiable mean.It has been identified as a crime in Islamic Economic System. As Riba harms the humanity and it give rise to many other crimes like ,Bribery. Human are the creature of Almighty Allah and anything that effects humanity is prohibited by Islam.
Secondly, Interest is not permissible. Interest is Price of money and trading of money is not allowed by ISLAM. Therefore, Interest is defined in Islamic Economic system as shirk, and shirk is forbidden(sin) , and sin is unforgivable in Islam. As it has been generated artificially without been circulated in economic system which give rise to the Inflation in the economic system.
But, Profit that has been termed as RIB i.e. clean profit , is permissible by Islam .Any reasonable amount of money that has been earned through the circulation of money into the economic system by justifiable mean is termed as profit. As the multiplication of money is encouraged by islam as it leads to the betterment of the man kind so this clearly defines that a reasonable profit is allowed. An unreasonable profit eventually leads to Riba i.e.forbidden
Islamic Economics System has not been introduced for the Islamic countries only but it has been introduced for the economic system that believe in Clean profit and save themselves from Sins and Evil acts. Though the Islamic Economic system has not been followed properly by any country but many countries are now start adopting the system as their main economic system ,mostly Islamic countries.
Nauman Adil
Iqra University ‘09
naumanadil@gmail.com
This Article has been published in THE FINANCIAL DAILY
http://www.thefinancialdaily.com/NewsDetail/131144.aspx
Nice Nauman. Referring to the idea that is the counter-stone of Islamic economics, that fact that Islam prohibits the wastage of resources itself logically implies that resources are limited. Rationality tells that if you possess unlimited resources, you wont worry about wasting a insignificant part of it because that wasted part wont even be worth considering compared to the unlimited resources. Resources are limited yet sufficient to fill the requirements of mankind if distributed properly, now this distributed is what Islam expounds quite differently from traditional economics.
ReplyDeletebaqar nice to see ur critic over the article. Well islam prohibits the wastage of resources because the resource u waste might be profitable or helpful to other. so make tht resource be available to those who r in need of tht resource.
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