Islamic banking: experiences in the Islamic Republic of Iran and in Pakistan

Iran and Pakistan both have resolved to adopt Islamic economies -- Iran has rapidly transformed its system, while Pakistan is moving gradually and has begun the conversion with the banking industry. While some had feared that Islamization of the economies would cause a terrible breakdown in the financial system, time and evidence have proven their worries unfounded. To the contrary, there has been a quick increase in private-sector deposits in both Pakistan and Iran, suggesting that Islamic economics can successfully invest a society's assets and galvanize a nation's economy.