Pakistan to implement interest-free banking system as soon as possible: Finance Minister Ishaq Dar

Pakistan Finance Minister Ishaq Dar on Wednesday said that the federal government will implement ‘interest-free’ banking system in the country as soon as possible and withdraw in the coming days appeals filed against it in the Supreme Court, as per a report by Dawn.

“With the permission of the prime minister and consultation with the SBP governor, I’m announcing on behalf of the federal government that the SBP (State Bank of Pakistan) and NBP (National Bank) will withdraw their appeals from the SC and our government will fully try to as quickly as possible implement an Islamic system in Pakistan,” Dar said, the South-Asian nation's leading daily reported

In a televised statement, Dar said that the progress on imposing an Islamic system of banking had faced hurdles and challenges in recent years.


The finance minister said that the government had knowledge that the SBP and the NBP had separately filed appeals in the Supreme Court against Federal Sharia Court's verdict to impose an Islamic form of financial and banking system.

"Because this is ordained in the Holy Quran, and I believe the barometer of our decisions is the Quran and Sunnah, we all should follow it," Samaa TV quoted Dar as saying.

He also prayed for divine guidance for implementation of this new system.

Dar, however, said that moving to a new system would be riddled with challenges as the new practice cannot be implemented suddenly.

Nonetheless, the government had decided to withdraw the appeals in the next few days, the minister said

"The government has decided in the light of teachings of the Holy Quran and Sunnah, the two appeals against the Federal Shariah Court's verdict by the government will be withdrawn, and work will begin to implement the system within a defined timeline," Dar further said.