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Pakistani Islamic banks charge 25–30% interest. Mandviwala

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The public is allegedly being duped under the guise of “Islamic banking,” according to the Senate Standing Committee on Finance, which is presided over by Senator Salim Mandviwala. Their concerns regarding the activities of Islamic banks are quite serious.

Salim Mandviwala, the committee chairman, said that Islamic banks, despite their claims to be interest-free, are actually charging far higher rates.

When it comes to borrowing, he disclosed that these banks charge interest rates between 25 and 30 percent, which is significantly more than the 20 percent that regular banks usually charge.

Mandviwala claimed, “The people are being deceived under the guise of Islamic banking,” emphasizing that it doesn’t seem like the State Bank of Pakistan (SBP) has much supervision over these businesses. “Islamic banks are operating without adequate oversight, and those who can take advantage are doing so freely,” he continued.

The public has frequently complained to Mandviwala about the excessive interest rates that Islamic banks impose. A comprehensive briefing on Islamic banking from the State Bank has been requested by the Standing Committee in response to these worries.

As a safeguard against potential exploitation, the committee’s findings have led to calls for increased regulation and transparency in the Islamic banking industry.

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Islamic Sukuk Bonds: Government Is Expected To Begin Bond Auction Next Week

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There is now more positive economic news for the people of Pakistan. The government is anticipated to begin the Sukuk Islamic Bond auction next week, after the central bank’s announcement of a large drop in the policy rate.

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SIFC Encourages Green Tourism: Reforming Visas to Increase Investment

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Enhancing investment in the tourism sector, Green Tourism Pakistan’s initiative has received backing from the Special Investment Facilitation Council.

Visa-On-Arrival for 126 countries, Visa-Free Entry for Gulf Cooperation Council nations, and 24-hour expedited visa processing are some of the main features of the Green Tourism Visa Policy.

It is anticipated that these endeavors will draw in about 80 million dollars in foreign direct investment and 8.3 billion rupees in domestic investment.

Green Tourism Private Limited has introduced hunting resorts in Naltar, Hunza, and Skardu, along with four- and five-star city hotels, to improve the tourism experience.

In the first phase of the project, 17 of the 78 areas have seen the start of development activity.

Approved is a central authority for Green Tourism that will supervise the growth of Air Operations.

To promote Religious Tourism, extra precautions have been taken to guarantee the security of visitors from all religions, including Sikhs and Buddhists.

Furthermore, in order to improve the quality of the tourist experience, the green guide quality program has been introduced to supply top-notch tour guides.

There is now a deluxe bus excursion from Islamabad to Peshawar that promotes local culture.

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July 2024 export data from Pakistan shows a significant rise.

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The Strategic Investment Facilitation Council (SIFC) has been instrumental in improving Pakistani products’ access to international markets, as seen by the significant surge in exports from the country at the start of the 2024–25 fiscal year.

With a 7.26% rise over the same month the previous year, July 2024 exports to the US were $476.017 million. After increasing by 7.74% annually, the United Arab Emirates emerged as the second-largest export destination.

The third and fourth places were occupied by exports to the UK ($183.303 million) and China ($60.100 million). A substantial increase in exports to Afghanistan was recorded in July of this year, rising from $46.262 million to $88.065 million, largely due to successful anti-smuggling efforts.

With a combined export volume of $553.951 million, more important export destinations included Germany, the Netherlands, Italy, Spain, Saudi Arabia, and Turkey.

A bright future for the national economy is suggested by the growing confidence major international markets have in Pakistani exports. Through the efforts of SIFC and the government, this greater access to global markets has been made possible.

Pakistan’s economy is predicted to remain stable as a result of the export growth that SIFC has enabled.

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