Wednesday, January 25, 2017

Islamic finance in Europe (25)

Continuation
The author writes:
Some scholars add:
§  secular;
§  and economic
arguments to the religious motivation for the prohibition.
They note that, “Interest-free” finance could more effectively lead to full employment of resources.
While the alternative one - “interestbased” finance would, by its very nature, be more:
o   volatile;
o   instable;
o   and therefore detrimental
to economic development.

From the research paper of European Central Bank

(Authors: F.Mauro, P.Caristi, S.Couderc, A.D.Maria, L.Ho, B.K.Grewal, S.Masciantonio, S. Ongena and S.Zaher)

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