Islamic Microfinance has solution of all issues relating to poverty: Zubair Mughal

Lahore, October 31, 2012 (PPI-OT): Poverty has become a global problem. Due to the current Global Financial Crisis, even the Developed countries of world are also trying to fight against poverty whereas the solution of all the problems and issues related to poverty lies in Islamic Microfinance.

These thoughts were expressed by the Chief Executive Officer of AlHuda Centre of Islamic Banking and Economics, Mr. Zubair Mughal in an International Microfinance Conference which was held in Yogyakarta, the city of Indonesia.

The Conference was jointly organized by Government of Indonesia and World Bank. Delegates and experts from 30 different countries including Dr. Susilo Bambang Yudhoyono – President of Indonesia, Noble Prize Winner Dr. Muhammad Yunus – Founder Grameen Bank, Dr. Larry Reed – Director of Global Microcredit Summit Campaign, Mayada El. Zoghbhi – World Bank and 600 people participated in the conference.

Conference was inaugurated by the President of Indonesia – Dr. Susilo Bambang Yudhoyono whereas Ministers, Governors, Parliamentarians and Ambassadors of Indonesia have also participated in the conference. In the inaugural speech, President of Indonesia has declared Microfinance as an effective strategy for the eradication of poverty and by using this source; poverty has decreased in many countries including Indonesia.

While addressing to the ceremony, Dr. Muhammad Yunus explained that how Grameen Bank started social work for reducing poverty and fulfilled the needs of poor people by starting the social work instead of Charity and met their financial needs by giving them small loans and now finally they are useful civilians of society.

Government of Indonesia has specially invited Mr. Muhammad Zubair Mughal to speak on the topic of Islamic Microfinance. During his address, he said that recent research has proved that Islamic Microfinance is a good alternative for eradication of poverty from which both Muslims and Non- Muslims can get benefits.

He further said that in order to provide Islamic Microfinance to poor people, one should firstly determine the level of poverty of the poor so that relevant products of Islamic Microfinance may be used to remove the poverty.

He said that the people living in the underneath of poverty should be given products like Zakah Ushar, Sadqah so that they could come to the next level whereas the poor falling in the middle level of poverty should be given products like Musharakha, Mudarbah and Murabaha and poor living in the last stage of poverty must also be given Salam and Istisna in addition to Murabah and once poor crosses the line of poverty, they should be given the facility of Microtakaful (Islamic Insurance) for safety net so that they may not return to the darkness of poverty.

International experts and the audience of the conference highly appreciated Islamic Microfinance as a best solution for poverty alleviation and Mr. Muhammad Yunus has appreciated the efforts of Mr. Zubair Mughal for the promotion of Islamic Microfinance.

For more information, contact:
Amina Siddiqui
Manager Communication
AlHuda Centre of Islamic Banking and Economics
192 Ahmed Block, New Garden Town,
Lahore – Pakistan
Ph: + 92 (0)42 – 35913096 – 8, 38407850
Fax: + 92 (0)42 – 5913056
Email: info@alhudacibe.com
Web: www.alhudacibe.com