All posts filed under: Economy

Mini-Budget Ties Pakistan’s Economy Down, Before More Slaughter with the Knives of the IMF

The mini-budget released on 18 September 2018 revealed huge increases in taxation through the widespread withdrawal of tax and duty exemptions, before the scheduled visit of the International Monetary Fund (IMF) team, which is to demand even more privatization. As such Pakistan’s new rulers have confirmed that there is no change and it is more […]

The World is Still Paying a Heavy Price Ten years after the Crisis Caused by the Capitalist Financial System

The US Federal Reserve Bank of San Francisco reported on the 13th of August, that 10 years after the 2008 financial crisis: “the U.S. economy remains significantly smaller than it should be”, which “represents a lifetime present-value income loss of about $70,000 for every American”, and “the United States is not alone.”

The Government Instigated the Closure of Several Businesses in the City of Qadarif Due Increasing the Forbidden Taxes

Merchants of the shops in the city of Qadarif organized a strike on Thursday, 6th of September 2018 where they shut their businesses as a protest against the increase on taxes which reached triple the amount originally taken from them in the past. The question is: Is it Islamically legal to take taxes from merchants […]

Increase in the Prices of Gas and Electricity is Poison for Pakistan’s Economy

Bajwa-Imran Regime has Started Implementing IMF Conditions Even Before Securing IMF Debt Hizb ut Tahrir / Wilayah Pakistan rejects the increase in gas prices by 46 percent on average, as well as the two Rupees per unit increase in electricity prices. Has the Bajwa-Imran regime lost all its senses? Why is it increasing the prices […]

Q&A: The Fall of the Turkish Lira

Question: The Turkish lira fell in one day on 10/8/2018 by 14%, after falling by more than 21% on a continuous basis since the beginning of this year. The drop has increased after America’s imposition of tariffs on steel and aluminum imported from Turkey, in addition to the issue of the detention of the American […]

Erdogan’s Economic Fortunes Crumble

After weeks of turmoil, Qatar has come to Turkey rescue as its currency plunged causing a severe economic crisis. Qatar offered Turkey $15 billion of investment according to Turkish officials, following a meeting between Qatari Emir Sheikh Tamim bin Hamad Al-Thani and President Recep Tayyip Erdoğan in Ankara on Wednesday August 15th. This is a […]

Kenya’s 2018/2019 Budget is Tightened Nooses on the Necks of Despaired Citizens!

The tax proposals submitted through the 2018 Finance Bill are designed to generate an additional Ksh 27.5 billion in tax revenue for the FY 2018/19. The 2018/2019 budget deficit of Ksh 558.9 billion (equivalent to 5.7 percent of GDP) will be financed by net external financing amounting to Ksh 287.0 billion (equivalent to 3.0 percent […]

Democracy Legalizes Corruption by Allowing Writing Off Loans

With elections scheduled for 25 July 2018, corruption is a major electioneering issue. However, seeking to end corruption through Democracy, is like seeking a cure through the diseases itself. The case of written-off, non-performing loans, worth billions of rupees is one of many examples that prove Democracy promotes corrupt practices. The Supreme Court of Pakistan […]

Big National Budget (2018-19) with Big Deceptions to fulfill the desires of the Ruling Class and its vested Interest Groups

On 28/6/18, Bangladesh Parliament has passed an extraordinary big national budget of Tk 4.68 Trillion for fiscal year 2018-19 that is 16% larger than the previous one. The budget supposedly aims to spur economic growth and investment and keep inflation in check along with a revenue realization target at Tk 3,39,280 Crore, which is 31% […]

In Khilafah Gas will be a Public Property and will be Delivered at a Price that will support the Economy

Increase in Gas prices will further contribute to a deteriorating economy Oil and Gas Regulatory Authority (OGRA) has proposed to the Pakistani Federal Government to increase the price of Gas by an average 46 percent. The regulator has determined up to 186pc increase in gas rates for the poorest categories of domestic and commercial consumers, […]

Budget 2018-2019 Confirms Need for Khilafah: Yet another Budget under the Colonialist Capitalist System will only add to our Economic Misery

On 27th April 2017 the PML-N government presented its last budget, for the fiscal year 2018-19. The ideological bankruptcy of Pakistan’s ruling elite was clear in both in the content of the budget, as well as in the politics surrounding it. On the one hand, the government made a great show of some tax cuts […]

Electricity Crisis can only be resolved by Placing Electricity under Public Ownership as Mandated by Islam

On 17th April 2018, Tuesday, The Nati­onal Electric Power Regula­tory Authority (Nepra) found K-Electric at fault for the ongoing power crisis in Karachi and asked the government to increase gas quota for the power utility to ease public sufferings. The regulator reviewed the investigation report and decided to initiate legal proceedings against the power utility […]

To the Participants of the World Islamic Finance Forum (WIFF): The Khilafah will Implement Islam Comprehensively as an Alternative to the Failed Capitalism

Assalamu Alaykum wa Rahmatullah wa Barakaatahu We address you as participants of the World Islamic Finance Forum (WIFF) of 19 March and 20 March 2018, organized by Karachi’s Centre for Excellence in Islamic Finance at the Institute of Business Administration (CEIF-IBA), in collaboration with LUMS and INCEIF. Indeed, this forum of yours itself is an […]

Reformation of the Bangladesh Banking System is to Oil the Looting Machine of The Capitalists

The total defaulted loan in the Bangladeshi banking sector stands over BDT 80,000 crore (BDT 800 billion). Up to June 2017, an amount of over BDT 18,000 crore was written off by state-owned banks. Government has also supplied capital over BDT 10,000 core (BDT 100 billion) during the last 10 years. Despite injection of additional […]

Kenya’s Ksh.5.4 Trillion Debt Accumulation a Confirmation that the Capitalist Economic System has Failed

Kenya is paying Sh658.2 billion against Sh1.4 trillion in expected tax revenues meaning half of all the money collected by Kenya Revenue Authority (KRA) goes to pay debt. If one adds non-discretionary spending such as salaries and pensions which are deducted even before they hit our spending accounts, Kenyans will pay Sh735.6 billion this year, […]