پاکستان کے بڑے معاشی مسائل کا اسلام سے حل

1. Introduction to
Islamic Economic System
How Khilafah would Solve Economic
problems of Pakistan
Imran Fawad

2. Opening Verses

3. Pre British Economy
1. India – Golden Sparrow
2. India - Biggest Economy
3. India – 25% of World GDP – $90b
4. One Citizen, Abdul Ghafoor Had More Wealth than
East India Company
5. Jigget Seths of Bengal were wealthier than
Bank of England
6. Ghaneemat of battle of Palassi was more than Entire Europe’s GDP
7. In the Era of Muhammad Shah Tughlaq: 10,000 Schools & 70 Hospitals in
Delhi, 40,000 Schools in Bengal
8. World’s Biggest Steel and Ship Manufacturing
9. Literacy Rate amongst Muslims was 87%
10. Lord Mccaulay address to Parliament in 1835:
“I have visited the length and breadth of India, and I have not seen a single thief and
Begger. I have seen such wealth, High Moral standards and people of Calibre that I
don’t think we would ever be able to conquer this land, unless we destroy its Spiritual
(Islamic) and Cultural Heritage”

4. Pakistan’s Resources
1. Population – 180Million
2. Young Population – 65% (More than Germany & France)
3. Area – 800,000km2 (More than Germany & UK)
4. 10th Biggest Labour Force
5. Energy Resources:
Thar Coal – Worth $25,000b, Energy more than Saudi & Kuwait’s Oil
Gas – Enormous Reserves (300Trillion Cubic Feet – Baluchistan)
6. Minerals:
Aluminum, Copper, Zinc, Iron, Gypsum, Phosphate, Silver, Marble, Ornament Stones.
Gold (Riko Diq: $500b)
7. Agriculture:
Biggest River Network
Wheat Production – More than Africa, Equal to South America (It can be Doubled)
Top 10 Countries: All Vegetable & Fruits
8. Military Technology:
Fighter Aircraft Manufacturing, Submarines, Tanks, Nuclear Weapons, Missile Technology.
7th Largest Army
9. Experts
Engineers/Scientists: 2 Million PHDs: 7000

5. What Made us from Richest to Poorest ????
We are now (2012) Being Told that:
1. We are Beggars and Corrupt
2. We Cannot Stand upto America because we need its AID
3. We are under Huge Debt
4. Energy and Food Crisis is due to lack of Technology
5. Our Economy cannot run without Interest
6. Our Issue is that People give less Taxes
7. We Should Open Trade with India
The Capitalist Economic System:
1. Which was introduced by British and Continued in every
Dictatorship and Democracy since Birth of Pakistan
2. It is the Root cause of Economic Problems
3. Pakistan’s Kufr Constitution Supports the Kufr Capitalist
Economic System

6. COMPARISON
Capitalist
Economic
System
Islamic
Economic
System

7. 1. Energy Crisis
Democratic System
1. Privatization of Energy Resources
2. Freedom of Ownership
Wealthy get the Benefit
IPP Policy launched in 1994
3. Corrupt/Incompetent Political
and Bureaucratic Class
Only use Power Generation ways
recommended by IMF etc
Fake Crisis, to Divulge Public in these
Matters
4. Result: Fuel Shortage/Price Hikes
Khilafah System
1. Energy Resources are Public Property
No Privatization
No Tax, No Profit
2. Not Nationalization
3. Competent & Visionary Leadership
Khilafah will use alternate sources
Coal
Wind
Solar
4. Result: Very Cheap Energy for Public
and Industry
Economic
System

8. 2. Oppressive Taxes
Democratic System
1. Government has right to Impose TAX
GST, Property Tax, Income Tax, Import/Export
Duties, Fuel Surcharges etc
2. Wealthy get the TAX Cuts
3. IMF Dictates about Revenue
Collection
4. Blanket Taxation for Rich and Poor
Khilafah System
1. Government Cant Impose Tax at will
GST, Property Tax, Income Tax, Import/Export
Duties, Fuel Surcharges etc
2. Allah decided who would be taxed
and How much Amount
3. Defined Revenue Sources
Three Diwans: Sadaqat, Public Prp, State Prp
Zakat on Wealth and Trading Stock
Ushr and Kharaj on Production
Jizya on Non Muslims
Hima from Public Prp
Other Sources: Rikaz, Ghanaim, Fai, Emergency
4. Relief for Poor, Increased Revenue,
Relief for Traders and Manufacturers
Economic
System

9. 3. Inflation
Democratic System
1. Fiat Currency
2. Government Prints Money at will
3 Trillion Rupees – Current Govt
3. Result: Consistent Devaluation of
Rupee
1 Tola Silver = 1 Rupee (Pre British Raj)
1 Tola Silver = 980 Rupees (At Present)
Khilafah System
1. Currency is 100% backed by Gold
and Silver
2. Extra Money cant be printed
3. Fixed Weight of Currency
Gold Dinar – 4.25g
Silver Dirham – 2.975g
4. Result: NO Inflation, Stable Prices
Economic
System

10. 4. Agricultural Reforms
Democratic System
1. Ownership of Agricultural Land
Separated from Cultivation
2. Feudal Setup
land in few Hands, Uncultivated
3. Barren land – No Utilization
4. No Technology Use to Increase
Production
5. Rural Economy is destroyed
4. Result: Mass movement towards
Cities, Unemployment, Production
Below potential
Khilafah System
1. Ownership based on Cultivation
Land Must be Cultivated – 3 years Rule
2. Ban on leasing of Agricultural Land
3. Barren Land Ownership
Based on Usage
4. Result: Increased Production, Rural
Economy revival, Mass employment
Economic
System

11. 5. Foreign Loans
Democratic System
1. Government decides upon foreign
Loans and their contracts/Conditions
2. Huge Interest and Severe Conditions
3. Role of IMF and World Bank
4. These heavy amounts get into Pockets
of Rulers and Foreign Accounts
Morgan Trustee Bank: 1000/1500 b$ return back
5. Countries get into never ending trap
Pakistan: 1990 – 2005 (20b$)
2007 – 2010 (6b$ + 2.6b$ Interest)
Pakistan: 2010 – 2011 (loan Taken 287bRs, loan
returned 319bRs: 76princ + 279Interest)
4. Result: Shortage of Resources, Extra
Burden on Economy
Khilafah System
1. Cannot take foreign loans absolutely
2. NO to Interest based Dealings
3. NO to IMF and World Bank
4. Take back all Money from Corrupt
Ruling Class
5. Say NO to Remaining Interest
Return back Original Amount from
Rulers confiscated wealth
6. We don’t need any Foreign loans for
our Needs
Economic
System

12. 6. International Trade
Democratic System
1. Third world countries – Consumer
Markets
2. Free Trade / WTO
3. Trade with US, EU and India
4. Custom Tariffs
5. Chinese Model – Export Based
Economy
6. Result: Consumer Market/Multi
Nationals’ Monopolization of
Markets
Khilafah System
1. Islam Prohibits trade with Enemy
States (India, US, UK etc)
2. NO to Free Trade
3. Custom Tariffs are not Allowed
If other country does impose, than Khilafah
would do reciprocally
4. Islam doesn’t want State to be a
Consumer Market
5. Islam’s Model is Self Sufficiency
Based Economy
6. Result: Self Sufficient Economy
Economic
System

13. 7. Basic Needs
Democratic System
1. Government’s Focus is:
Increase Production (GDP, GNP)
Ensure Freedom of Buying/Selling (Open Market)
2. Focus on Overall Economy
Not on People
Not on Specific Sectors
3. Muslims are dying of Hunger & in need
of Help.
Billions are being Spent on Roads & Sports
Khilafah System
1. Fulfilling Basic needs of every
individual is Khalifah’s Personal
responsibility
Example: Famine in Medina
2. Focus on Distribution and not
Production
3. Funds spending based on Need and
not Population or Production
All resources belong to whole Ummah
Economic
System

14. 8. Virtual Economy
Current System
1. Banks, Gambling
2. Stock Exchanges
3. Bonds/Lotteries
4. Future Trading
5. Limited Companies (Pvt/Public)
6. Insurance Companies
7. Interest Based Banking and Trading
8. Mortgages
Khilafah System
1. All are Not Allowed
from Islam
2. Islam has its own
Company/Partnership
Structure and Business Model
Economic
System

15. 9. Is Pakistan Dependent
Upon International Aid ?
Democratic System
1. Government Corruption = ~400b
2. Deb Servicing = ~400b
3. Rise in Defense Budget = ~350b
(From 350b to 800b in 2011)
4. Loss Due to War on Terror = ~1530b
(All Statistics are of Year 2010-2011)
Total Direct Loss to Budget = ~1150b
Total Indirect Loss to Economy = ~1530b
US Aid to Pakistan = 1.2b$ = 110b
Khilafah System
1. End Corruption
2. Stop Debt Servicing (Interest)
3. Stop Spending on US War on Terror
DO WE NEED US AID????
Economic
System