IslamicFinance.de

Deputy Governor Reserve Bank of India, Mr. H. R. Khan emphasizes the importance of bringing unbanked and unreached people into the formal financial system by leveraging technology, especially the mobile phone technology. Various studies have revealed the absence of Islamic financial system in the country as one of the major reasons of backwardness of Muslims in India. These studies revealed that Muslims in India have worst credit-deposit ratio due to unavailability of interest free loans which are compatible to the Islamic principles. With 97% workers engaged in unorganized sector, the Indian Muslims need interest free loans to improve their labour output ratio and value additions to foster inclusive growth.