Islamic economics ensures fair wealth distribution: minister

LAHORE, (UrduPoint / Pakistan Point News - 17th Apr, 2026) Federal Minister for religious affairs Sardar Muhammad Yousaf has said that the Islamic economic system is not merely a financial infrastructure but a complete system based on justice, morality, transparency and principles of social welfare.

He said this while addressing the 6th Global Conference on Islamic Economics Finance and Banking at the University of Management Technology (UMT) on Friday.

He said that the Islamic economic system provides an alternative economic model that ensures the fair distribution of wealth.

The minister stated that the system also discourages exploitation while promoting real economic activities.

Sardar Muhammad Yousaf said that today, when the economic system faces challenges such as instability and inequality, Islamic finance offers a model that connects economic activities with moral responsibility.

He said that Pakistan, being an important Muslim country, has a responsibility to strengthen Islamic financial institutions and expand their horizons.

The Federal Minister said that the Khurshid Ahmad Institute of Islamic Economics and Finance (KAIIF) and UMT aim to engage in rigorous academic research, practical training, policy advocacy, teaching, and commercial consultancy in Islamic economics and finance, thereby contributing to the development of a values-based, equitable financial system.

The minister stated that Zakat is an important pillar of islam.

He emphasized that it is highly important for Zakat to be paid properly and utilized effectively.

Sardar Muhammad Yousaf said, “We need to work a lot on the Zakat system so that people’s trust in paying Zakat can be restored.

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He added that developing a proper Zakat system could bring about visible change.

He further said, "Islamic economic principles are closely related to our religion and values."

Ensuring justice and eliminating exploitation in economic activities are not just economic goals but also religious obligations.

The Federal Minister said that collective efforts are required to strengthen the Islamic economic system.

He also appreciated Malaysian Prime Minister Anwar Ibrahim, whose message was played at the conference, and noted that Pakistan enjoys strong brotherly relations with Malaysia.

He said that the world has acknowledged the role of Prime Minister Muhammad Shehbaz Sharif and Field Marshal Syed Asim Munir in promoting global peace.

He added that Pakistan has strong brotherly relations with Saudi Arabia.

He said Pakistan played a mediating role in preventing a major conflict and contributed to peace in the region and beyond.

The minister said that the government is always ready to support and strengthen various sectors. He emphasized that there is no room for 'Sood' (interest) in the Islamic system and that he has always opposed 'Sood'.

He said that the Primary objective of the Ministry of Religious Affairs is to promote an Islamic environment and society, implement the Islamic economic system, and encourage its adoption.

He added that researchers, experts, and academia are always welcome to play their role in strengthening the Islamic economic system.

UMT Rector Dr. Asif Raza, Islamic Finance Group Executive Director Ghulam Muhammad Abbassi, Zaki Aijaz from FPCCI, and others also spoke on the occasion.