Abuja-The CBN governor, Mr Sanusi Lamido Sanusi, on Thursday in Abuja said that that Islamic banking would soon begin in Nigeria.
Sanusi said this at an award dinner to mark the 20th anniversary of the Abuja Muslim Forum.
He noted that the non-interest banking system will help improve and develop the nation’s economy .
According to him, other countries such as the United Kingdom and South Africa are already successfully operating the system.
He called on Nigerians to help make the project a success.
The News Agency of Nigeria (NAN) reports that Sanusi was one of the recipients of the Forum’s award.
Earlier, the Amir, Abuja Muslim Forum, Mr Musa Aliyu, said the award was meant to recognise and celebrate Muslims who have contributed to the development of Islam and the nation.
Other recipients of the award include the Minister for Education, Prof. Ruqayyatu Rufa’I and some Islamic scholars and public servants.
The event was attended by Islamic scholars, public servants, students, NGOs and religious organisations
The forum was established in 1991 with the aim of enhancing unity, education and promotion of the welfare of Muslims. (NAN)

http://www.vanguardngr.com/2011/02/nigeria-to-commence-islamic-banking-soon-sanusi/

great news for those who have been craving for it if it can be done!! However, I hope CBN will be fair to all i.e. they will subjected to every rules and regulations every other bank is subjected to. All banks should be equal

Is Islamic banking can be allowed in Nigeria then why not sharia.

what is islamic banking?

Ma_J_Blige:

what is islamic banking?

Islamic banking - Banking according to the tenets of Islam.

Sharia - Law according to the tenets of Islam.

Cool, it works for me,
Now I ddont have to take all those unwanted change the normal banks always add to my account every 1ce in a while,
Hope its not just all talk and but it becomes a reality, cuzz its been going on for a while,

I think you cannot have Sharia Law in a country that has a constitution and its laws which are based on secularity(distinction between state and religion),

However, Islamic Banking is a fantastic system of banking that provides quality service based on the principle of Islam in relation to non-interest earning or bearing accounts as well as non investment in unethical products or services based on Islamic standards.

Hope it works out, but I think it should promoted as "non-interest" banking rather than Islamic banking.

best system ever. tired of paying interest.

Is there Christian Banking?

afam4eva:

Is there Christian Banking?

There is the Vatican Bank, embroiled with too much controversies, mostly fraud related and history of dealings with the mafia,

Vatican Bank
Set up by Pope Pius XII in 1942
Based in Vatican City, has no other branches, operates as offshore institution outside EU rules
Headed by professional banker overseen by commission of cardinals
No shareholders, no policy-making functions
All profits set aside for charitable or religious works

why islamic bank? to fund terrorism?

Islam does not encourage terrorism, muslim extremists do. Always remember there are extremists in every religion or society.
Are you saying global banking does not encourage terrorism?

afam4eva:

Is Islamic banking can be allowed in Nigeria then why not sharia.

Allowing Islamic banking in Nigeria is not same as allowing Sharia Law . Islamic banking is just an alternative to conventional banking, as such Nigerians have the option of which banking system to choose from, which is quite good for the economy because it will encourage competition and force conventional banks to reduce their charges or offer more services for same charges.

In the case of allowing Sharia Law, you cannot force a Law based on religious values on a secular state like Nigeria with so much diversity when it comes to religion. It is as simple as that, no room for laws based on religion (whether Islam, Christanity etc )  to replace our constitution.

Baba_O:

why islamic bank? to fund terrorism?

No, not for terrorism. Islamic banking has been going on for quite a longtime in UK and other non-Islamic countries, and quite a lot businesses owned by non-muslims use their services.

Very good news.

Even though I am still a novice in the area of Islamic banking,I am yet to understand how Islamic banking will bring about economic development in Nigeria as claimed by Sanusi.Islamic banking to my understanding is a non-interest banking practice.Interest itself is the opportunity cost of keeping your money under your mattress.
The banking system provides a kind of bridge between those who have surplus funds and those who need surplus funds thereby necessitating a swift exchange/flow of credit in the economy.Interest on the other hand acts as an incentive to both lenders and borrowers.Without the payment of interest there will be no incentive to save and that will invariably reduce the quantum of funds available for investment purposes, hence savings lead to investment and investment breeds economic development.
Without the payment of interest people would rather keep their funds in other assets which provides better returns than subscribing to savings.And an economy which doesn't have proper saving mechanisms may have problems with economic development due to the absence of funds/credit which creates investment.

The above therefore puts me in doubt on the ability and efficacy of the so called Islamic banking to bring about economic development in Nigeria.But come to think of it,does the islamic banking actually originate from Islam?This is because i read the account of St Thomas Aquinas on the Sin of Usury when he said money cannot beget money in my history of economic thought during my undergraduate days .I am yet to know if this is still what they claim to be Islamic Banking.

Sanusi should for the benefit of the nation disregard and totally discard the idea of islamic banking and focus on building a stable,reliable and efficient banking system through the use of numerous macro-economic tools at his disposal.

What is a terrorist banking?

chamber2:

Even though I am still a novice in the area of Islamic banking,I am yet to understand how Islamic banking will bring about economic development in Nigeria as claimed by Sanusi.Islamic banking to my understanding is a non-interest banking practice.Interest itself is the opportunity cost of keeping your money under your mattress.
The banking system provides a kind of bridge between those who have surplus funds and those who need surplus funds thereby necessitating a swift exchange/flow of credit in the economy.Interest on the other hand acts as an incentive to both lenders and borrowers.Without the payment of interest there will be no incentive to save and that will invariably reduce the quantum of funds available for investment purposes, hence savings lead to investment and investment breeds economic development.
Without the payment of interest people would rather keep their funds in other assets which provides better returns than subscribing to savings.And an economy which doesn't have proper saving mechanisms may have problems with economic development due to the absence of funds/credit which creates investment.

The above therefore puts me in doubt on the ability and efficacy of the so called Islamic banking to bring about economic development in Nigeria.But come to think of it,does the islamic banking actually originate from Islam?This is because i read the account of St Thomas Aquinas on the Sin of Usury when he said money cannot beget money in my history of economic thought during my undergraduate days .I am yet to know if this is still what they claim to be Islamic Banking.

Sanusi should for the benefit of the nation disregard and totally discard the idea of islamic banking and focus on building a stable,reliable and efficient banking system through the use of numerous macro-economic tools at his disposal.

I don't think you quite understand what Islamic banking means and how it operates, read up the meaning of Islamic banking on wikipedia -http://en.wikipedia.org/wiki/Islamic_banking  hopefully you will be able to figure out how it will be beneficial to our economy. Moreso advanced economies like UK also operate Islamic banking ( really don't think the UK Exchequer will allow such banking system if it weren't beneficial to their economy )

babaogun:

There is the Vatican Bank, embroiled with too much controversies, mostly fraud related and history of dealings with the mafia,

Vatican Bank
Set up by Pope Pius XII in 1942
Based in Vatican City, has no other branches, operates as offshore institution outside EU rules
Headed by professional banker overseen by commission of cardinals
No shareholders, no policy-making functions
All profits set aside for charitable or religious works

na wa ooo, babaogun, what is the relationship between christian banking and vatican bank?? islamic banking is a system of banking, like commercial banking, investment banking etc. and vatican bank is a bank and not a banking system, sir.
and by the way, there is no banking system, including islamic banking, that is insulated from corruption

i hope d nija system will allow it 2 work!!!!!!!!!!!!!!!!!!!!!!!!!!!

Best News so far!!!!!!!!!!!!!!!!!!!

Will transfer all my money there sharp sharp. . .

Interest is a sin in islam. . .!!!!!

Giving loans and charging interest is sinful . . .

thats why all the islamic banks in the world survived the financial crisis. . .

if you dont know how islamic banking operates and contributes the the economic development of a nation, please research!!!!




#Javalove , . unless otherwise stated. . .!

what of christian bank that can't work

johnjoel:

what of christian bank that can't work

No such thing as christian bank, unless na you wan set up that one 

Kai. meen this IMPUNITY  is just too much. If the central bank of Nigeria wishes to introduce interest free banks then it must do so without giving it  a religious undertone. Nigeria is a circular state. An Islamic bank will mean a bank to be staffed by Muslims and serving the the interest of Muslims only (you all know Muslims always consider faithfuls firsts) while enjoying Federal Financial incentive and structure while also running the risk of empowering good Muslims who support Jihad in Nigeria. Sanusi muste label the banking initiative with any other tag but islamic, as this may further deepen the problems bedeviling Nigeria and portray the nation in Negative light to Western countries. We have Christians and Idol worshipper in Nigeria these group also have their bank systems too.

calaway:

Kai. meen this IMPUNITY  is just too much. If the central bank of Nigeria wishes to introduce interest free banks then it must do so without giving it  a religious undertone. Nigeria is a circular state. An Islamic bank will mean a bank to be staffed by Muslims and serving the the interest of Muslims only (you all know Muslims always consider faithfuls firsts) while enjoying Federal Financial incentive and structure while also running the risk of empowering good Muslims who support Jihad in Nigeria. Sanusi muste label the banking initiative with any other tag but islamic, as this may further deepen the problems bedeviling Nigeria and portray the nation in Negative light to Western countries. We have Christians and Idol worshipper in Nigeria these group also have their bank systems too.

Provided the CBN ensures these Islamic banks are operated in Nigeria the way it operates in other countries, whether it is called an Islamic bank or Nigerian bank doesn't matter, businesses are more interested the services the offer eg. getting interest free loans to boost their capital etc, No body cares what they are called. Between what has commercial banks with all these nice names that wouldn't cause problem in Nigeria done for small businesses so far ? dem just dey give money to only politicians, their brothers and sisters who will not use the money to do anything beneficial to our economy.

MAKE DEM CALL AM ISLAMIC BANK OF NIGERIA, WE NO CARE !

btw, I am christian. I am fully behind Sanusi on this one.

calaway:

Kai. meen this IMPUNITY  is just too much. If the central bank of Nigeria wishes to introduce interest free banks then it must do so without giving it  a religious undertone. Nigeria is a circular state. An Islamic bank will mean a bank to be staffed by Muslims and serving the the interest of Muslims only (you all know Muslims always consider faithfuls firsts) while enjoying Federal Financial incentive and structure while also running the risk of empowering good Muslims who support Jihad in Nigeria. Sanusi muste label the banking initiative with any other tag but islamic, as this may further deepen the problems bedeviling Nigeria and portray the nation in Negative light to Western countries. We have Christians and Idol worshipper in Nigeria these group also have their bank systems too.

dude stop spewing trash. . .there are islamic banks in european and american countries recognized by the state. . .because the word "islamic" is used, una go dey scream like fowl. .

imagine some heads here saying "what of christian bank?" oga oooo. . .

we are not in a competition abeg. . .ISLAMIC BANKING is part and parcel of shariah law. . .

the rulings on interest are also part of shariah. . .

the only things non muslims know about sharia are its criminal codes and dressings. . .

shariah talks about the total life of a muslim. it even talks about the rights of non muslims in a muslim state



#Javalove. . .unless otherwise stated. . .!

Paulo882.

The bank must be a circular financial institution sharing the desired principles of the islamic banking system. Otherwise the FG must hands off totally so doing individuals who wish to set up Islamic bank must go through the normal process of setting up a bank with out expecting any commitment of incentives from the custodians of Nigerian oil money CBN. This financial structure cannot and must not be set up of supported by the FG/CBN. Nigeria is a circular state I am sure you understand what that means. Islamic bank supported by FG will have only islamic staff and islamic depositors who are not interested in recieving interest  for the funds they deposit, and I know that you like any other christain or circular person needs to receive interest for your savings in any bank. The individuals who stake their money in these banks to be sharing partners with the borrowers in the borrowers venture always enforce that the benefactors of such loans are Muslims sharing same faith and principles. So Paul it is not by a long shot that an infidel like benefit from this system if implemented wholely as an islamic bank Islam is not a very tolerant or flexible way of life. CBN must reform and selectively implement and re-tag the islamic banking system for the plan to have realistic future acceptance in a circular country with a circular source of income.

calaway:

Paulo882.

The bank must be a circular financial institution sharing the desired principles of the islamic banking system. Otherwise the FG must hands off totally so doing individuals who wish to set up Islamic bank must go through the normal process of setting up a bank with out expecting any commitment of incentives from the custodians of Nigerian oil money CBN. This financial structure cannot and must not be set up of supported by the FG/CBN. Nigeria is a circular state I am sure you understand what that means. Islamic bank supported by FG will have only islamic staff and islamic depositors who are not interested in recieving interest  for the funds they deposit, and I know that you like any other christain or circular person needs to receive interest for your savings in any bank. The individuals who stake their money in these banks to be sharing partners with the borrowers in the borrowers venture always enforce that the benefactors of such loans are Muslims sharing same faith and principles. So Paul it is not by a long shot that an infidel like benefit from this system if implemented wholely as an islamic bank Islam is not a very tolerant or flexible way of life. CBN must reform and selectively implement and re-tag the islamic banking system for the plan to have realistic future acceptance in a circular country with a circular source of income.

Calaway, I appreciate your views but this isn't how it works in other countries where I have seen it e.g UK, unless Nigeria is planning to implement it in a different way. Islamic banks employ non-muslims and have non-muslim customers (a lot of it ) for your information. Please go and do more research before you comment.

@ Javalove,

I can see that you are Jihadist that cares only about his direction with IMPUNITY, not giving a thot to others who may not share your ideology. In the interest of other Nigerian who are not Muslims FG/CBN must hands off such sectional serving projects ( be it ISLAMIC BANK, OKIJA BANK and SONGO BANKs)and serve only as regulator to guarantee the safety of depositor funds PERIOD.

people should be allow to use the bank they want. If you like, you call it any name.

@Paulo882,

If u r looking 4 employment zenith is hiring!!!
I see that u are ignorant of the working of Islamic bank: EVEN and TAD knows that infidels like you even though you have a PHD in Banking and finance but have no knowledge of the Sharia laws is not suited to make administrative decisions for such a set-up. Even in UK. Unless you mean employment d to sweep and thoroughly clean their banking halls,throw the trash, guard the premises and open doors for costumers or even collect as a teller to give the establishment a circular face then only I agree that you will be given employment.

Hmmmm, from Islamic banking to turning the entire nation into Islamic nation