Free Republic

The issue of zakat is one that is central to the concerns about Shariah-compliant finance, but concerns about zakat should extend far beyond Shariah finance alone. Zakat is a real threat because it is doctrinal in Islam and no figure, organization or body in Islam has the authority to change it. But why is it a threat? Because it is a main funding source for jihad. We have detailed this extensively on SFW for years, but periodically we feel it necessary to reinforce and update our educational outreach on zakat. What prompted this latest report was an article we came...

Except auto finance, conventional lenders dominate the other segments of banking industry More UAE residents believe that Islamic banks transactions fees are lower than their conventional rivals, according to a survey published yesterday. Around 25 per cent residents believe that Shariah-compliant banks offer lower transaction fees as compared to 21 per cent for the conventional lenders. Conducted by Dubai-based Emirates Islamic bank, the survey results showed that more UAE residents opt for Islamic banks when it comes to auto finance rather than the conventional banks while in all other categories they prefer the latter. Around 52 per cent residents...

Yellen has inherited a complete nightmare. Thursday’s decision to delay yet again the long-awaited liftoff from zero interest rates is illustrating that the world economy is totally screwed. There is a lot of speculation about why the Fed seems so reluctant to “normalize monetary policy”. There are of course the typical domestic issues that there is low inflation, weak wage gains in the face of strong job growth, a hike will increase the Federal deficit and then there is the argument that corporations that now have $12.5 trillion in debt. All that is nice, but with corporate debt, our clients...

Yellen has inherited a complete nightmare. Thursday’s decision to delay yet again the long-awaited liftoff from zero interest rates is illustrating that the world economy is totally screwed. There is a lot of speculation about why the Fed seems so reluctant to “normalize monetary policy”. There are of course the typical domestic issues that there is low inflation, weak wage gains in the face of strong job growth, a hike will increase the Federal deficit and then there is the argument that corporations that now have $12.5 trillion in debt. All that is nice, but with corporate debt, our clients...

As the Russian economy reels from low oil prices and Western sanctions, the country is seeing rising interest in unorthodox financial solutions, most recently one pitched by the Orthodox Church. Last week, the Russian Chamber of Commerce and Industry threw its support behind a so-called Orthodox Financial System developed under the aegis of the Moscow Patriarchate and strongly resembling the better known Islamic financial system. "The Chamber of Commerce and Industry supports the creation of the Orthodox Financial System … and is ready to provide its platform for detailed and professional discussion of these questions together with the relevant committees...

World financial markets should be somewhat relieved that Greece and its creditors reached a reforms-for-bailout deal, closing-followed market watcher Mohamed El-Erian said Monday. But the chief economic adviser at German financial giant Allianz warned that investors should be prepared for a difficult and messy implementation of the terms of the agreement. Euro zone leaders in Brussels agreed Monday on a third rescue for Greece. The deal includes a stipulation that a $55 billion fund be set up using Greek government assets for privatization. The two sides came together for "two negative reasons," because the alternative was worse and nobody wanted...

Here is what you need to know now as Greece enters a pivotal week in its testy relationship with the Eurozone: 1. Greece’s most immediate – as in first thing Monday morning – source of danger is its banking system. To compensate for accelerated deposit flight, the European Central Bank injected additional emergency funding on Friday to allow the banks to open on Monday. With a lot more needed, the ECB will grow more hesitant to pump in new money unless the Greek government secures an agreement with its European partners and the institutions through which they operate (the European...

There was a time, not really all that long ago, when the local banker was a pillar of the community. A good relationship with him (and it was always a him) was essential to every business owner. Not only that, every potential homeowner had to trek down to his office in hopes of getting a mortgage. Countless workers walked into the branch every week to cash their paychecks, make deposits to a Christmas Club account and more. That world doesn’t exist anymore.... As the reality begins to sink in, the big banks will use their political clout to try and...

(CNSNews.com) - Rep. Keith Ellison (D-Minn.) told a gathering of Democrats, “The bottom line is we’re not broke, there’s plenty of money, it’s just the government doesn’t have it.” Ellison was discussing his ‘Inclusive Prosperity Act’ measure at the July 25th Progressive Democrats of America roundtable in Washington. “People like, George Soros, Bill Gates, Warren Buffett, Paul Krugman, Joe Stiglitz, Jeffrey Sax, Dean Baker, Robert Poland, Larry Summers have said they all support a transaction tax,” Ellison said. “The bottom line is we’re not broke, there’s plenty of money, it’s just the government doesn’t have it,” Ellison continued, “The government...

The potential for social unrest in European Union countries is higher than anywhere else in the world and the already yawning gaps between rich and poor, a major trigger, are likely to widen globally, the International Labour Organisation said on Monday. Those most vulnerable, the report said, were Cyprus, Czech Republic, Greece, Italy, Portugal, Slovenia and Spain. However the risk of social unrest had declined in Belgium, Germany, Finland, Slovakia and Sweden since 2010. Overall, the risk of unrest in the EU "is likely to be due to the policy responses to the ongoing sovereign debt crisis and their impact...

One bank failure in Pennsylvania and one in Michigan brought the year's tally of failures to 151, according to the Federal Deposit Insurance Corp. Friday. Regulators closed Paramount Bank of Farmington Hills, Mich., and Earthstar Bank of Southampton, Pa.... The total cost to the FDIC deposit insurance fund is $113.1 million