The impact of interest-free banking on the economy

The author gives an outline of the problems with conventional banking and presents the benefits of Islamic banking, with an eye particularly on development in the Muslim world. This age is torn between capitalism, communism, and socialism (in its numerous manifestations). The countries of the Muslim world are, astoundingly, not achieving success in their development goals while their behavior appears to be patterned on models that were successful in other parts of the world. The author argues that the Muslim world has not been able to create a system that all society will support because Islamic values have not always been adhered to. The author offers a comprehensive criticism of conventional banking and its negative affects, of which a few are: 1. Increasing the gap between the rich and the poor; 2. Inflation; and 3. Breakdowns in human relationships. The author sees Islamic banking as a means of changing the way individual people act. Changes in individual behavior lead to br