Indian court gives go-ahead to interest-free financing

(MENAFN – Arab News) A court ruling has opened the door for interest-free financial institutions to thrive in India with government support, according to economic experts.

A division bench of the Kerala High Court dismissed writ petitions filed against the government’s sanction for starting a non-banking finance company by the Kerala State Industrial Development Corporation (KSIDC), based on Islamic principles.

Speaking to Arab News, H. Abdur Raqeeb, general secretary of the Indian Center for Islamic Finance, said the introduction of an Islamic financial system in India would help the country receive much-needed funds for its infrastructure projects from potential investors from Gulf countries. Continue reading