MAM disappointed with NEEF’s failure to allow Muslims acquire Interest Free Loans

Muslim Association of Malawi MAM has expressed concern over continued failure of National Economic Empowerment Fund NEEF to allow Muslims acquire interest free loans.

MAM has made the appeal 4 years after operationalization of the fund which disburses interest loans to Malawians.

In an interview with Radio Islam, MAM secretary general Alhaj Dr Twaib Lawe said the Association has been engaging NEEF on the issue but till now nothing tangible has been done.

Dr Lawe said MAM has experts on Islamic financing that can help to provide direction on how the loans can be implemented.

He is worried that the current situation is hindering Muslims and other religions that do not allow interest loans as they also contribute to the fund through paying taxes.

However, Dr Lawe said MAM is still fighting for the inclusion and hopes that NEEF will come into terms with their concerns.

But in an earlier interview NEEF chief executive officer Humphrey Mdyetseni said relevant authorities including Reserve Bank of Malawi are still drafting regulatory framework that will respond to the needs of the religious groupings considering that it is a new ideology in the country

However, RBM Spokesperson Boston Maliketi said the Registrar of Financial Services is collaborating with Muslim Association of Malawi (MAM) to introduce a full-range Islamic finance offering, going beyond the current arrangement of just a window of providing Islamic banking services.