S Nadeem Abbas Haider
Islam does not want wealth to accumulate in a few hands and therefore, Islamic teachings encourage money to circulate in the society freely. Additionally, the same theological philosophy argues that people should give others opportunity to earn spiritual contentment by embracing their humanity. Interest in the society causes people to live in the illusion of self-sufficiency that does not permit them to socially integrate with others. However, Islam creates space for social exchanges that increases strength of the community.
Interest also motivates wealthy people to feel a sense of pride increases social disparity. Islam fulfils multiple objectives by disallowing interest. Firstly, everybody experiences the pain of poverty periodically in order to understand their social responsibility to help the poor while going through financial prosperity. Secondly, an individual develops his or her competency to earn fresh lot of money because he or she cannot depend on earning interest to live anymore.
Thirdly, perpetual distribution of wealth injects financial growth in the economic system that becomes highly entrepreneurial because people would need to create organizations to earn money. Creation of organizations provides employment opportunities to others. Education also becomes a priority for the society as industries need qualified people constantly.
Finally, religious mindset that fights interest impresses people to become socially active when recession hits and therefore, each person lowers his or her standard of living to respond to a decrease in his or her respective earning. However, people in the society of Pakistan periodically suffer from consequences of poverty alone because everybody tends to save his or her financial strength during recessive economic periods without meeting his or her social responsibility.