Amar Singh to pitch for Islamic banking before PM, FM

NEW DELHI: Samajwadi Party general secretary Amar Singh on Monday said he would urge Prime Minister Manmohan Singh and Finance Minister P Chidambaram to consider introducing Islmamic banking in the country.

Participating in deliberations on Islamic banking organised by Indian Centre for Islamic Banking in India here, Singh said that he "will meet the PM and the Finance Minister and explain to them both the benefits of Islamic banking and why it should be introduced in India. In fact I would lead a delegation to the PM for this".

H Abdul Raqeeb, the convener of Indian Centre for Islamic Finance, said that as Islamic model of banking is interest-free and is run on profit sharing basis, it prevents market speculation and checks inflation.

He, however, said that though the concept has gained favour in UK, Japan, and even in Europe, India is yet to adopt the concept.

Raqeeb hoped that with Singh playing a key role in the UPA government, the concept could get the government's approval.

The SP leader said that though the time was very less with general elections approaching, he would try his best to convince the government about the benefits of Islamic banking.