Wisdom behind the Prohibition of Riba (Interest) - GFC Case Study | Almir Colan

One of the miracles of Islam is the prohibition of riba (interest, usury). Many students, when studying these rules for the first time, perceive them as burdensome to the economy and question the wisdom behind exchanging money for money in equal amounts and instantly. They sometimes even ask if such restrictions have a place in a modern economy.
In this clip, we analyze the power of Islamic economic principles by examining the root causes of the Global Financial Crisis. Join us as we explore the power of the riba ban and its significance in shaping our financial systems.
Please take a moment to listen and share.
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#IslamicFinance

[@AlmirColan]

Learn more about Islamic finance rules > www.almircolan.com/ifpd2023

[@hafsahassan394]

I don't know why this has so less upvotes. Blanket truth!

[@User1qaz2wsx390]

Simply people do not belive this beautiful rule of Islam can become a reality....and yes, luck of knowledge and education....

[@hzrxpro3342]

insightful subhanallah

[@PanduAsli]

Interest is the heart of time value of money, therefore, all modern conventional businesses.

[@ahmedqureshi6111]

You accent actually made it more understandable 😃

[@AlmirColan]

😂

[@nailachou1174]

With the 2008 GFC the crash happened essentially due to inability to keep up with interest repayments on housing stock which were subject to variable rates. Is the same thing happen with the current economic situation except that corporations or the commercial sector are being impacted more as they are unable to keep up with interest repayments or adversely affected by rising interest rates which will lead to businesses and smaller financial institutions/banks going bankrupt and being gobbled up by larger corporations and larger financial institutions or banks? Also individuals, households and nations that are unable to keep up with interest repayments and default on their debt will suffer. While lenders or investors will continue to profit from the disasters and be protected by crafty insurance companies that may be part of the government’s treasury. The rising interest rates, debt and inflation/stagflation could eventually lead to central banks merging with the government’s treasury to manage spending and this would likely give rise to the global adoption of CBDC a centralised digital currency that would enable authoritarian control and surveillance to be exerted over the global masses.

[@amenstal123]

WELL SAID

[@Honestcritic79]

I wonder how much fractional reserve banking has to do with this. Of course we have a federal reserve system that sets interest rates but they also allow/for and even encourage fractional reserve (despite them apparent setting a limit for what that fraction could be) I wonder also if having a gold standard with of course no fractional reserve system would eliminate the need for interest rates, (since you would be paying the bank to hold your money which is really a payment of services and no interest per say).

[@temporarybackup5077]

👃 💎

[@YallaGoetheTV]

Riba is so wicked and disgusting