Pericles,

This brief question and answer/ FAQ approach might help you get your head around things.
(in the good tradition of follow the money –follow the Zakat)

Why are special Muslim financial institutions needed ?
Because Sharia commands it .

What other things does Sharia command?
A good Muslim must pay a Zakat/tax.

What is the Zakat used for?
There are eight permissible uses for such funds
1.the poor
2.the needy,
3.collectors of Zakah,
4.reconciliation of hearts,
5.freeing captives / slaves(fee al-Riqab),
6.debtors
7.in the Way of Allah / Islamic causes (fee sabeel illah)
8.the traveler.

What does point 7 : “in the way of Allah” mean?

(We went to an online Muslim charity for the answer: http://muttaqun.com/zakat.html)

“ In the Cause of Allaah: This refers to Jihaad in the Cause of Allaah. So those who fight in Jihaad should be given a portion of the Zakaat that will suffice them for their Jihaad and enable them to buy the necessary tools for Jihaad in the Cause of Allaah.

You mightn’t like it – and it mightn’t sync with you Mary Poppins view of the world –but it’s the reality .

Cheers

Thanks SPQR - it really is that straight forward. This is what I meant about sharia finance fundamentally endorsing this activity - whereas other banks that may be used for this purpose do not fundamentally endorse this.
You can't sell a product based on it being an 'ethical' investment and expect to avoid addressing what the ethics are all about. Fundamentally, they are about not contaminating the Islamic with the un-Islamic. Is this really something that our government should be committing to invest in? These sharia advisory boards directing ethical investments are religious scholars making decisions based on sharia religious ethics - not just financial law Pericles. They're committed to move funds from main stream banks to Islamic banks purifying it through 'zakat' on the way. We've just seen what that includes.

"Thanks SPQR - it really is that straight forward. " "We've just seen what that includes."

Just think this through, Vickie.

If it really is that straight forward, must we conclude that you are closest friends with "A Malay Muslim, well acquainted with sharia laws..." who is a sponsor of terrorism through Zakat?

Maybe she could inform readers here by considering an article on the issues faced by someone of the same faith as the official state religion? A situation not confronted by us in Australia.

Whilst we are waiting for Islam to continuing sinking under the weight of its internal contradictions do you care to detail exactly what it is our government is doing?

"Is this really something that our government should be committing to invest in?"

You appear to have great difficulty understanding the simplest concepts, Vickie. How on earth you can set yourself up as some kind of authority on Islam-in-Australia is a mystery.

>>This is what I meant about sharia finance fundamentally endorsing this activity - whereas other banks that may be used for this purpose do not fundamentally endorse this<<

You are confusing two situations, as I have tried to explain to you a number of times, without success.

In your logic, our banking system "fundamentally endorses" the passage of money from Boston charities to IRA bank accounts. The fact that it does not go out of its way to say "here, this is how you help terrorists buy weapons" does not negate the simple fact that it does, in fact, do exactly this. If you see this as unethical, why are you not protesting equally vehemently about it?

Oh, right. Because our system of supporting terrorists is more ethical than theirs, is that right?

You should try to ignore the diversions that SPQR uses to draw your attention away from these simple-to-understand, basic facts.

>>What other things does Sharia command?<<

He is only doing this because he has run out of arguments against sharia finance. A true sign of desperation. If you can't win, move the goalposts.

If you are determined to see evil wherever you look in Islam, that's fine. It leaves you in danger, though, of losing all perspective on every issue, which is not at all a good look. As a possible antidote, you might at some point - just as an exercise, you understand - apply the same level of one-eyed, look-only-for-bad-stuff scrutiny to our own banking systems.

"spiralling speculation in food markets is driving up the cost of food out of reach of the world’s impoverished"

http://www.szdaily.com/content/2012-01/09/content_6375944.htm

"As banks... use other people's money... a decline of 26 percent in housing values can easily eliminate both the homeowner's equity and the bank/financial institution's own capital."

http://worldhunger.org/articles/09/editorials/vanderslice.htm

Arjay's a pretty good example of this nabob-of-negativity approach, if you need some guidance.

WM Trevor - Our government has committed to invest in and facilitate sharia finance. A speech by Bernie Ripoll (Parliamentary Sec to the Treasurer) espoused all the benefits of sharia finance including this statement:
"To further develop Islamic finance in Australia, we are committed to reviewing some of the systems we have in place, and working to ensure that there are no barriers for new entrants to the market." (ie lets make our taxation laws more sharia compliant because we don't want any barriers to sharia finance)...It is this premise that some are disputing.

You're right Pericles - I am not an expert on Islam - just a person democratically voicing opinions shared by many Muslims and non-Muslims alike. Nevertheless, I have been asked to address a number of groups and write for a number of publications. (eg Free the Copts have included a short chapter I authored).

All laws can be used and misused - but sharia law calls 'unlawful' what we call 'lawful' (freedom of religion, freedom of speech replaced with apostasy & blasphemy laws) and 'lawful' things we call 'unlawful' (child marriage, polygamy etc). Therefore this muddies the ethics we're talking about and inadvertently promotes what many consider human rights abuses. Are you are ok with children being married off because of sharia laws that won't protect them in Malaysia and inadvertently undermining Australian law by sanctioning any sharia as 'ok' here? People who promote sharia law do not always have regard for Australian law unless it happens to line up with sharia. Australian law is important and sharia finance fosters allegiance to another law, another system; a foreign and religious law. It is finance veiled in another legal system.
Have we corruption and greed in our banking system? Yes - where there are humans there is corruption. But the AIG example cited earlier denied Americans the option of investing in American weapons and defence but not Muslim weapons, not charities that include 'jihad'. National unity is important or else we will create the same 'two state solution' we see arising wherever calls for sharia are heard.

Thanks, Vickie... you mean the speech to Amanie Australia Islamic Finance Forum on Tuesday, 16 April 2013 that included these paragraphs?

"Australians take great pride in the rich diversity of our cultural heritage. We are proud of the fact that our nation protects freedom of religion under our highest law. Because of this - provided that they comply with other laws - banks and other financial institutions are free to implement measures designed to appeal to specific market segments.

Of course, Islamic financial institutions - just like conventional financial institutions - are bound by our strict laws and regulations.

As I'm sure you are all aware, Australian financial institutions are among the best-regulated in the world, and Islamic financial institutions operating in Australia are no exception."

And on taxation:

"The terms of reference for the review required the Board to make recommendations and findings to ensure that, wherever possible, Islamic financial products have parity of tax treatment with conventional products based on their economic substance.

In essence, this is about a 'fair and level playing field' and not about special treatment."

The concepts of parity and no special treatment seem straightforward and without spin... which doesn't necessarily help us much since there is a new government.

What is their position with respect to your crusade?