Malaysian Islamic Banks Must Follow Maqasid Syariah Principles

Malaysian Islamic Banks Must Follow Maqasid Syariah Principles, said Anwar Ibrahim, former deputy prime minister of Malaysia.

SEPANG (Nov 19): Malaysian Islamic banks must fulfill the principle of Maqasid Syariah in their operations to develop a vibrant banking system and save the economy, said Member of Parliament, Datuk Seri Anwar Ibrahim Southeast Asia Ulama (scholars) Conference held in Sepang, Malaysia.

“Maqasid Syariah is just. It involves more people and provides an alternative economic system which benefits everyone.

“If Islamic banks are not managed according to the principles of Maqasid Syariah, they will only benefit the rich, while the poor and those who do not have collateral cannot get loans,” he said in a special dialogue at the 2019 Southeast Asia Ulama (scholars) Conference here today.

Anwar also said there was a need for a religious institution with a good and effective administrative system to ensure that service is effectively delivered to the people.

He said the failure to run the banking system according to Shariah was the source of major problems including corruption and abuse of power in society.

“Without good administration, the entire system will be loose and will erode confidence in the banking system.

“So I hope religious institutions will return to the basics, ethics, and morals which are closely related to good administration,” he said.

Originally published on www.bernama.com