KARACHI: The IBA Centre for Excellence in Islamic Finance in collaboration with Ihsan Trust conducted a training on “Collection, Utilisation and Investment of Zakah and Donations in Welfare Organisations”, a one-day course to provide participants with an understanding of Zakah, charity donation and distribution of wealth from the Shariah perspective.
In attendance were scholars, practitioners and academicians from welfare organisations, hospital and health care organisations, trusts, and educational institutions.
The session revolved around creating the basis on which Zakah funds were formed, how they were used and the investment and potential avenues of disbursement of those funds and donations.
Centre for Excellence in Islamic Finance Director Ahmed Ali Siddiqui provided the participants with an overview of the Islamic Banking and Finance Industry of Pakistan, its future outlook.
The presentation also tried to convey an understanding and clarification on Riba.
He said, “Removal of Riba is a key to providing Islamic finance a foothold in the economic landscape of Pakistan”.
Pakistan is the only country in the world that has actively put the elimination of Riba within its constitution, he added.
Shariah Compliance Department member Mufti Naveed Alam also spoke at length about the principalities of Zakah, donations and the employment of these to benefit welfare organisations, whether through infrastructure development, development of healthcare and educational funds, or the enhancement of wellbeing.
The processes and procedures for the deployment of the funds for healthcare, welfare and educational organisations and institutes were also discussed.