Presentation of Islamic Banking Seminar in Afghanistan organized by AlHuda Centre of Islamic banking and Economics

1. Theoretical Prospects of Islamic Finance in Afghanistan Dr. Azeemuddin Subhani Shariah Scholar

2. The Prospects Empirical Aspects: Demographic Factors Population Size Cultural Factors Affinity with the East or the West Religious Factors Dominant Religion Economic /Financial Factors Per Capita Income Propensity to Save Regulatory Factors Compatibility/Adaptability of Banking law with Islamic financial law

3. The Prospects Theoretical Aspects Nature of Islamic Financial Model: Purely Economic? Purely Theological? Purely Economic Model: Weak Limited Appeal/Prospects Purely Theological Model: Strong Wide Appeal/Prospects

4. The Hypothesis Islamic Financial Model = Supra-Economic Theological Paradigm

5. Theological Paradigm Foundational Principles of Islamic Finance: * Prohibition of Riba * Permission of Bay’ * Prohibition of Gharar

6. Prohibition of Riba Qur’anic Punishment for the Sin of Riba: * Satanic Insanity * Eternal Hellfire * War from Allah * Extermination

7. Prohibition of Riba Conventional Perception: * Riba = Interest/Usury * Riba = Economic Paradigm *Riba Prohibition Rationale = Exploitation of the Weak and the Poor

8. Prohibition of Riba Conventional Prohibition Rationale = Economic Exploitation = Incompatible with Qur’anic Punishment = Dire Unmatched Punishment

9. Prohibition of Riba Proposed Prohibition Rationale = Self-Generation Basis: Common Usage: Interest = Self-Generation of Money from Money Qur’anic Usage of Riba Verbs: Growth of the Child Rising of the Foam in the Sea Rising of the Mountains, etc. Common Feature of Qur’anic Usage: Self-Generation

10. Prohibition of Riba Self-Generation = Divine Attribute *** Indulgence in Self-Generation = Transgression in the Divine Domain

11. Prohibition of Riba Prohibition of Riba = Theological Paradigm = Transgression in the Divine Domain = Compatible with Qur’anic Punishment = Dire Unmatched Punishment

12. Permission of Bay’ Conventional Perception: * Bay’ = Sale/Trade * Bay’ = Economic Paradigm * Bay’ Permission Rationale = Desirability of Risk-Taking and Profit/Loss-Sharing

13. Permission of Bay’ Conventional Permission Rationale = Risk-Taking = Incompatible with Prohibition of Gharar = Prohibition of Risk/Uncertainty/Speculation

14. Permission of Bay’ Proposed Permission Rationale = Co-Generation Basis: Bay’ = Prototype of All Islamic Contracts Sale Contract: Co-generation from inter-action of money and commodity Oath of Allegiance: Inter-action of the Ruler and the Ruled Marriage Contract: Inter-action of the Male and the Female Common Feature of Linguistic Usage: Co-Generation

15. Permission of Bay’ Co-Generation = Human Disposition (Fitra) “Creation in Pairs” – Qur’an *** Indulgence in Co-Generation = Indulgence in the Human Domain = Theological Paradigm

16. Islamic Financial Model Islamic Financial Model = Theological Paradigm

17. Prospects in Any Islamic Jurisdiction Islamic Finance = Faith System Prospects of Islamic Finance = Excellent