After being in Makkah for 13 years following first revelation, Prophet (ﷺ) migrated to Medina. He instilled in Medina’s economy, Islamic Values with respect to Usury and Interest which Islamic Finance Institutions are adhering to follow till today. Prior to Prophets’ migration, the marketplaces were monopolized by the Jews who took heavy interest (sood) from the people thereby causing imbalance and injustice in the economy. To break their monopoly Prophet(ﷺ) developed other marketplaces where there was no interest, no unjust taxes, no hoarding, no high prices of goods, no middlemen in transactions and further, salesman disclosed any kind of defect in goods. Hence the economic monopoly of the Jews was eventually broken and gradually Islamic Values were instilled.
We can relate the same to Pakistan today. Pakistan with a Muslim population of 96% and an unbanked population of 79% we can instill the same values through Islamic Finance regime like the Prophet(ﷺ) and reach the unbanked population with Islamic Finance products, leaving no room for conventional interest-based institutions to thrive in our present economy.
Let us align ourselves with the traditions and practices of Prophet(ﷺ) for a prosperous Pakistan!