06-26-2006, 12:50 AM
<blockquote id="quote"><font size="1" face="Verdana, Tahoma, Arial" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Pracs</i>
<br />DT,
Just a question out of academic curosity. For a Western bank to provide Shariah based products, or for that matter any other bank going into these specialised products, what would be the 'cut off' or 'halal point'. I mean for a bank it will mean that any capital that they use for these products would come out of 'interest based' business.
This has been a matter of debate in UAE, where one regular bank converted all its operation to 'shariah products' in a year long transfer.
Another bank that I worked for, started of a whole new 'Islamic bank' with a Shariah based products and a Shariah committee etc.. however, the seed capital came from their 'interest bearing bank'.
Any thoughts on this.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Pracs,
To be honest, I don't know much on this front. However, I would def get back to you on this after consulting this with my friend who is actually starting there in Sept this year. Since he also worked for this bank last summer, I am sure he would have something to comment on.
He has left for KHI today, so please give me a week or so to come back with something.
DT
<br />DT,
Just a question out of academic curosity. For a Western bank to provide Shariah based products, or for that matter any other bank going into these specialised products, what would be the 'cut off' or 'halal point'. I mean for a bank it will mean that any capital that they use for these products would come out of 'interest based' business.
This has been a matter of debate in UAE, where one regular bank converted all its operation to 'shariah products' in a year long transfer.
Another bank that I worked for, started of a whole new 'Islamic bank' with a Shariah based products and a Shariah committee etc.. however, the seed capital came from their 'interest bearing bank'.
Any thoughts on this.
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Pracs,
To be honest, I don't know much on this front. However, I would def get back to you on this after consulting this with my friend who is actually starting there in Sept this year. Since he also worked for this bank last summer, I am sure he would have something to comment on.
He has left for KHI today, so please give me a week or so to come back with something.
DT
