Transcriber: Ammar Alqatari Reviewer: Denise RQ
Do you know what "jihad" is?
Probably you think that it's a holy war against the infidels.
But that's just one of the interpretations,
not the most important one.
"Jihad," in Arabic, means, "To struggle in the way of God."
It's both a spiritual and a physical struggle.
The "greater jihad," the most important one,
is a struggle by a believer,
to fulfill his religious duties.
The "smaller jihad" is the struggle
which can take a violent, or a nonviolent form,
against persecution and oppression.
There's also a third meaning of "jihad,"
"struggle to create a good society."
If the society has same or similar beliefs and values
for sure it can be much stronger.
And I really truly believe
it's worth living with your own beliefs.
For example Islam and the Islamic banking [system],
which is showing that rules and ideas in a religion
[were] transformed into solutions of everyday life.
A characteristic feature of the Islamic banking
is the role of the Bank.
The basic mission is, surprisingly,
not to generate the profit for the bank,
or multiply the income for the customers,
but to support entrepreneurship and local development.
Everything in the Islamic banking system
has to be made according to [the] Sharia Law,
for the things which are allowed,
in Arabic it means "halal,"
and the things which are forbidden,
which in Arabic means "haram".
So, the bank is not able to invest any of their money
in the products, or services, or sectors, forbidden in Islam.
For example,
in the production or [trade with] alcohol, nicotine, drugs,
in sectors related with pornography,
the Defense Sector, casinos and nightclubs.
So, the customer of the Islamic bank can be 100% sure,
and sleep peacefully,
that their money won't be invested in anything inconsistent [with] Islam.
The rule of "money makes money" doesn't exist in Islam,
because money [has no] value in itself
and cannot be multiplied just by rotating it.
Same about bonds.
They don't exist in this system.
[Retaining a percentage] is unfair,
it's strictly related with usury,
and in Arabic it's called "riba."
"Riba" is one of the most important rules in the Islamic banking system.
It's [about retaining a percentage]
off the loan,
or [offering] loans [with] interest.
It's strictly related to social justice.
And an example of social justice
is when the bank is [offering loans]
for investments, to businesses,
and the businesses want to return profit.
In this [scenario], [neither] the bank [nor] the customer
have the advantage.
So the costs of the failed business are [borne by] both [parties].
And the bank has to take a risk too.
The second rule is "gharar,"
which is related to risky or hazardous sales.
It's strictly related [to] the idea
that gambling in the Islamic world is not allowed.
For example, you cannot sell the item or some goods
which [are] not produced yet;
it has to exist.
And [the other] thing is, you cannot sell it before you have it.
So there cannot be any risk of [not] having the goods
[or them not being produced].
All the products [offered by] the Islamic banks
have to be observed and accepted by the Council [for Islamic Banks],
by lawyers and clergy.
The Bible and the Quran
have a similar problem,
because there's just one Holy Bible and one Holy Quran,
but the interpretations are many.
So, it can have different interpretations,
in different varieties of Islam,
even within the same state.
But some of the values are universal,
and come from the universality of Islam,
and the products and services that banks worldwide are offering.
The most popular product in Islamic banking is "murabaha."
It's a type of sale where the bank
[buys] some particular product
ordered by the costumer,
and mentions the exact value of how much he spent on it.
For example, 100 dollars.
So, both the bank and the customer know about it.
It's the same with selling.
There's added profit,
but it's clear and negotiable by both sides.
There are important rules in this.
As I mentioned before, the product has to exist.
There has to be a valid contract, mentioning any [defective] goods,
and it has to be instant, absolute, and unconditional.
Islamic banks [don't] have a long history.
The first bank was founded in 1963 in Egypt,
and since then we've had hundreds of banks worldwide.
The main centers worldwide are in Iran, Saudi Arabia and Malaysia,
[and] in Europe, in Switzerland and Great Britain.
To show [its biggest and worldwide value],
it's worth [mentioning] to you Muhammad Yunus from Bangladesh,
the founder of Grameen Bank.
In 2006, he was awarded the Nobel Peace Prize,
together with his bank,
for [the improvements to] the social and economic situation in his country.
He's a really, true leader
who shows [us] how to transform [visionary] ideas
into practical solutions for the everyday lives of millions of people.
He created something called microfinance and microcredits,
which allows poor people
to start their small businesses.
[Through offering] credits, even loans of 10 to 15 dollars,
he supported a lot of people
to make their life better and raise their standard of [living].
Interestingly,
after he realized that he got this Noble Prize -
It's related with the winner award, nearly $1.5 million -
He decided he [would] invest this money.
First, he invested in the company
to produce low-cost, high nutrition food for poor people.
And at the same time, he also created
an eye hospital for the poor in Bangladesh.
Muhammad Yunus, for me, is a great example
of how the growth of society depends on each of us,
on everybody in our society.
Let's not complain about our low paid dues and everyday obstacles.
[Instead], everybody should plant their own seed
to [offer its] benefits to each of us.
Thank you.
(Applause)