Monday, October 22, 2012

Cooperative Micro-finance: A Debt-free Financial Democracy for All

The world of today had been suffering un-repairable damages due to debt-based economy with risk transferring techniques, which give one an opportunity to gain at the expense of others by diminishing the spirit of eco-democracy thus, fails to guarantee an eco-peace in today’s world of humanity. Such a debt-based mechanism enriches the riches with opportunities while closing the door of poor by depriving them from enjoying with true eco-democracy.

To rescue the world humanity from an unjust treatment through debt-based economy CMF a debt-free asset based mechanism with risk sharing technique is timely, which may be among the right alternative moves to day to facilitate a sustainable “Debt-free 3rd World Development with true democracy to peace for all” with result oriented achievement by creating an enterprising and entrepreneur based Nation aiming to have the chance to be self-reliant, matured, esteemed and proud leading to eco-Peace, Progressive and Prosperous in the Contemporary World of advanced socio-economic reality.

The mechanism of operation of CMF shall be adapted based on the micro-democratic arrangement with holistic spirit of mutual cooperation, brotherhood and solidarity in view of targeting socio-economic prosperity and peace among all humanity with no issue of one’s religion, race, status, gender or nationality.

 

Tolerance of Modern Finance with Islamic Financial System

The modern financial system had been serving both Muslim and non-Muslim with common benefits. Though some aspects of the Modern financial system are contrary to the principles and spirit of Shari’ah, but several technicalities of it are indeed in harmony with the Shari’ah standard. Because of some issues of modern system contradict the spirit of Shari’ah it may be unfair to generalise the Modern financial system as un-Islamic.

Shari’ah standard of financial system is purely based on the Divine rulings, which do not in reality reject the practicality of some issues or procedures of Modern financial system, so long one is in harmony with the spirit and principles of Divine standard.

Islamic financial system in the contemporary practicality is an able alternative parallel solution provider for global industrial needs acceptable to both Muslim and non-Muslim environments whilst modern financial system stands on its own platform with its standard and services.

Despite this dual system is greatly appreciated and acceptable in the global environment respectively, but leaves some questions and confusions haunting in the mind of generals on the issues justifiably are proven to be non-contradicted. To reduce such queries while creating friendlier movement in the financial industry a 3rd position may additionally be suggested and that is, “Harmonized System”.

The harmonizing of modern financial system to Shari’ah standard can only be recognized on those issues or aspects, which are justifiably proven not contrary to the Divine spirit and the Shari’ah principles per se. Thus, the burden of proof shall be on the modern financial system to ensure its subject matter is in total compliance with the Shari’ah standard. While the Shari’ah justification of such harmonization is on the basis of the principles of Masaleh al-Mursalah (public interest) so long the fact in issue is not contrary to the Divine spirit and standard.

Saturday, October 6, 2012

PTPTN (Malaysian Education Fund) is a Holistic Fund?

PTPTN is a "Holistic Fund" because of:

1. It facilitates the national human capital development scheme through acquiring knowledge (‘Ilmu) and its development for the noble causes of the nation.

2. It helps the parents to be enabled to educate their children in achieving their true legitimate goals for own-self, family, community, society, nation and the Ummah.

3. It facilitates the government to create a nation with skill & due professionalism.

4. It helps the nation to be proud of its children with knowledge, skill, maturity & right professionalism.

5. To sum up that, PTPTN is a fund that supports in seeking knowledge (‘Ilmu) and building up the children with true skill and dynamism towards greater benefits of the country and the Ummah in general.

Thus, it (PTPTN) shall not be subject to an unnecessary political debate, rather it shall be respected by all in discovering possible result oriented avenues towards furtherance dynamism of the scheme (PTPTN) and advantages for the students leading to national benefits.

However, PTPTN may view its furtherance bright future by Shari'ah based structuring its Fund by affiliating with SUKUK, SECURITIZATION by QIRADH, TAKAFUL & ZAKAT.

Among the common safe-guards through such structure are:

1. Students may be rescued from future Debt-liability.

2. Protection of the Fund from being Deficit with gradual effect.

3. The Government with gradual effect may be able to reduce its liability from injecting additional figures in to the fund.

4. This may eventually with a strict time-frame result a zero-contribution needed from the government.

5. A situation may one day arrive when students need not to be tied up with the loan, but only liability-free financial aids or scholarship with a simple condition that, students shall serve the nation full heartedly as a national & ummatic obligation.