Utro.UA: Ukrainian Banks do not Hasten to give out "Muslim Credits"

In our country the great interest and attempts to introduction of Islamic banking started to show one of domestic banks. Which one is not specified by the economists.
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Nowadays in the conditions of rigid shortage of financial assets, both for business, and for common citizens, in Ukraine even more often they started to speak about Islamic banking system. The first thing to distinguish this system from the European-American is that it is interest-free. And it concerns both credits and deposits.

As the chief accountant of the All-Ukraine Association of Social Organizations "Al-Raid" Vera Fryndak noted in her interview for Utro.UA, the Muslim who puts his money on the ordinary bank account, does not get interest. "However the trust of the true Muslim to the financial establishment is always very high. For banks give out interest-free credits to a newly-married couple for 5-10 years for building of a house or apartment purchase, or interest-free loans on business development. Before reception of money the history of a future borrower is carefully studied, much more, than in the European countries and in Ukraine", Vera Fryndak assures.

However, how do Muslim banks earn, after all, they feel much more confident, than the western banks, according to the data of the international financial institutions? When a Muslim puts money for the so-called investment account, the banker and the client agree about the profit of the investor on the bank income in this or that investment project.

All the matter is that Islamic banks unlike western and Ukrainian banks, with great success and desire take part in creation of own industrial and trade enterprises. It is clear, that in this case it is possible to get the big profit and to share it with investors. The same concerns credits, too: the one who gets a credit shares with bank a part of the profit which he receives from his business.

Muslim banks certainly establish the margin, however, according to the data, it is low (in connection with the daily rate LIBOR at the London interbank currency stock exchange - from 3 to 6 %), or, according to the other sources (the expert of the International centre of perspective researches Alexander Zholud) - it is high enough.

According to the data of the Kiev-Mohyla Bysiness-school (KMBS), in our country the great interest and attempts to introduction of Islamic banking started to show one of domestic banks. Which one is not specified by the economists.

In many countries of Europe and, especially, in England, operate a number of Muslim banks which work not only with Muslims. In March of this year in Russia there passed widely advertised conference on introduction in this country of the principles of Islamic banking and then a number of financial institutions declared their readiness to move in this direction. Even Japan in 2006 declared transition of a part of its banks to "Islamic rails" to involve considerable available assets from the Muslim countries.

Who knows, maybe partially with this was connected recent visit of the Prime Minister Yulia Timoshenko to Libya - the Muslim country which possesses considerable financial resources and investment possibilities. After all, as it emphasizes the analyst of "Alpha capital" Denis Shavruk, nowadays it is very difficult to find investments in the Western countries. "However, for some reason, I do not believe that the principles of Islamic banking will somehow spread in Ukraine. One thing is England where there live a lot of Muslims, and the other thing is our country", Denis Shavruk told to Utro.UA.

By Utro.UA

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