Islamization of the Economy of Pakistan and its Impact on the Material Well-being of the People: A Critical Analysis in the light of the Provisions of the Qurʼān, Sunnah (PBUH) and World Bank’s Criterion

Abstract

This paper aims to analyze critically, the process of Islamization of the economy of Pakistan and its impact on the material well-being of the People in the light of the economic provisions of the Qurʼān and the Sunnah (PBUH) and World Bank’s designed frame of material well-being. This research argues that the scope of the term “material well-being” is equivalent to the concept of daruriyyat (necessities) introduced by Maqasid al-Shari’ah in Islamic legal System.  This research analyses that since 1980s the dogma of Islamization of the economy was taken as the sole solution of all the economic issues of the people arose due to interest based capitalist system. It is however, a matter of great concern that after more than 35 years of Islamization of the country’s economy, more than 60% of Pakistani people have no access to the material well-being as aimed by Islamic Legal System and World Bank. It concludes that Pakistani Islamic economics and finance could not resolve any of the economic issues of the people.  It could not facilitate the poor in achieving material well-being as recommended by Maqasid al-Shari’ah and the World Bank. In the end, some recommendations are suggested to improve the contemporary situation of the Islamic economics and finance at Pakistan.