FSC Gives Govt Five Years To Eliminate Riba

Court tells govt to adopt Shariah-compliant modes in future while borrowing either from domestic or foreign sources

ISLAMABAD:
After the matter remained pending for 20 years, the Federal Shariat Court (FSC) has finally declared that the prohibition of Riba was absolute in all its forms and manifestations according to the injunctions of Islam and in accordance with the Holy Quran and Sunnah. Therefore, it should be eliminated from the country in five years.

“We are of the view that five years period is reasonably enough time for the implementation of our decision completely i.e convert economy of Pakistan into, equitable, asset based, risk sharing and interest-fee economy,” read a 298-page judgment authored by Justice Dr Syed Muhammad Anwer and endorsed by two other judges.

“Therefore, we would specify the 31st day of December, 2027 on which the decision shall take effect by way of complete elimination of Riba from Pakistan,” it added.

A three-judge bench, led by FSC Chief Justice Muhammad Noor Meskanzai, heard the matter. A senior government functionary had revealed that different banks would move an appeal against the FSC judgment soon.

Finance Minister Miftah Ismail wrote on Twitter that he welcomed the FSC decision in the Riba case.