Tuesday, September 16, 2014

WOMEN IN ISLAM – THEIR ROLE IN ISLAMIC FINANCE

INTRODUCTION
Women’s status in Islam is one of the most controversial and serious issues of our time, not only among the Muslim women and men but also amongst the Non-Muslims. In many societies, a woman is still regarded as a second-class citizen and deprived of various basic rights enjoyed by the male population. The West has often regarded Islamic women as being backward in a male-dominated world, whereas Islam was the first religion formally to grant the women a status never known before.


WOMEN AS MENTIONED IN THE QUR’AN
The Holy Qur’an contains hundreds of teachings, which apply both to men and women alike. The moral, spiritual and economic equality of men and women as propagated by Islam is unquestionable. The specific verses of the Holy Quran, which address themselves to men or women, deal with either their physical differences or the role they each have to play in safeguarding the morals of the society Islam conceives.


The Holy Quran emphasizes that God in His perfect wisdom has created all species in pairs, and so men and women have been created of the same species;

"O Mankind, keep your duty to your Lord who created you from a single soul and from it created its mate (of same kind) and from them twain has spread a multitude of men and women..."... [Quran 4:1]

The Holy Qur’an has named a Surah after a woman (Surah Maryam), and one of the Surah is totally dedicated to women (Surah An-Nisa).

“O mankind! Be dutiful to your Lord, Who created you from a single person (Adam), and from him (Adam) He created his wife [Hawwa (Eve)], and from them both He created many men and women and fear Allah through Whom you demand your mutual (rights), and (do not cut the relations of) the wombs (kinship). Surely, Allah is Ever an All-Watcher over you...” {Surah An-Nisa}
“There is a share for men and a share for women from what is left by parents and those nearest related, whether, the property be small or large - a legal share.” {Surah An-Nisa}

WOMEN AS A MOTHER DESCRIBED IN THE HOLY QUR’AN
Islam assigns a position of great honour to a mother. The love, devotion and tenderness due to parents, and especially to the mother, are repeatedly stressed in the Holy Quran:
“We have enjoined on man benevolence towards his parents.” [Quran 29:9]
“We have enjoined upon man concerning his parents: Be grateful to Me and to thy parents; unto Me is the final return. His mother bears him in travail after travail and his weaning takes two years.” (31:15).


ECONOMIC POSITION OF WOMEN IN ISLAM
In Islam the independent economic position of woman has been established since the very beginning. Mention has been made of the obligation of the husband to make a settlement on the wife, in proportion to his means, at the time of marriage. This settlement is called dower (Mehr)

“And give to the women (whom you marry) their Mehr (obligatory bridal money given by the husband to his wife at the time of marriage) with a good heart, but if they, of their own good pleasure, remit any part of it to you, take it, and enjoy it without fear of any harm (as Allah has made it lawful).” [Surah An-Nisa]


A married woman who possesses means of her own may and in most cases does, contribute a portion or the whole of her independent means towards the upkeep of the household, but is under no obligation to do so. The upkeep of the household is the entire  responsibility of the husband; even when the wife is in her own right better off than her husband.

This is well illustrated by the following incident. The Holy Prophet, peace be upon him, on one occasion adviced women to spend in charity out of their own means also. Thereafter two women, both bearing the name of Zainab, one of them the wife of the well known companion Abdullah bin Masood, came to him and told him that their respective husbands were men of straitened means, but that they in their own rights were comparatively better off. Would it be an act of spiritual merit if they were to assist their husbands out of their own means? The Holy Prophet assured them their spending on their husbands would be doubly meritorious, as it would rank both as charity and as graciousness.

The Holy Quran admonishes:
“Covet not that whereby Allah has made some of you excel others. Men shall have a portion of that which they earn and women shall have a portion of that which they earn. Ask Allah alone of His bounty. Surely Allah has perfect knowledge of all things.” (4:33).

There is no decree in Islam which forbids woman from seeking employment whenever there is a necessity for it, especially in positions which fit her nature and in which society needs her most, for example, nursing, teaching, medicine etc. Moreover, there is no restriction on benefitting from a woman’s exceptional talent in any field.

Khadijah bin Khuwaylid (the first wife of Prophet Muhammad – peace be upon him) was also a trader, taking ahead her father’s business. Her policy was to employ hard working, honest and distinguished managers to deal on her behalf as a lot depended on the integrity of the employees who travelled far and wide on her behalf. She exported her goods to far away markets like Syria, and her managers bought goods from those markets to be sold at home.
The history of women in Islamic trade and finance is not adequately written. At first sight, Muslim women's stories (and the general interest in them) seem to focus on family matters like marriage, divorce and children.

Women in Twenty-first Century Islam
The average spectator from Western countries might consider women in the Muslim world as introverted and restricted to their homes by their male partners. In fact real life is different, particularly markedly in the last few decades. Women in Islamic countries are now in charge of large corporations, are ministers (Mrs. Sayeeda Warsy, U.K), and Prime ministers (Sheikh Hasina of Bangladesh) and have reached top jobs and are imposing success on their own terms. As HE Queen Rania Al Abdullah of Jordan said on the subject, "The landscape is starting to change".

Women are now business owners in Jordan, Bahrain, Lebanon, Tunisia, India, Pakistan, The UAE, etc. They are finding their own place in the business and community and creating opportunities for themselves and their participation in business is on an upward trend. Making a significant contribution in the booming economies, women's business networks have grown rapidly across the region.

Salma Hareb, CEO, Jebel Ali Free Zone and Economic Zones World, said, "Women in the UAE are as much part of the corporate world as anywhere else on the globe. This signals a significant change in a society where women's roles used to be marked differently by our social customs earlier. Being an entrepreneur is about more than just starting a business or two - it is about having the attitude and the drive to succeed in business. Businesswomen in the Middle East are doing just that. We observe women as corporate heads occupying various decision-making positions in the public as well as the private sectors."


Recent statistics show that women in the Gulf region represent 35% of the total Arab workforce. The UAE alone is home to more than 11,000 women entrepreneurs managing investments worth more than $4 billion. Women hold 30 per cent of management positions in finance, 32 per cent of the transactions of the financial and banking sector is done by women, 20 per cent of management jobs in financial institutions are held by Women.

A significant contribution by women to Islamic finance and to financial institutions has been noticeable in Malaysia, as well as in global finance. Women in Islamic financing are much more able to follow the principals of Shariah than are men because their main concerns are to details and efficiency; they are less likely to engage in speculative or risk-taking behaviour and the sale of financial assets. Women have become a powerful force in the economy, and this success should be recognized. Although there are still obstacles to overcome, there are a number of women who have reached the highest positions in financial institutions.
Women are researching, educating themselves and taking more control of their finances. When it comes to investing, women make fewer mistakes, are more risk averse and more consistent during volatile market times. These positive investment tendencies are necessary when it is considered that women face unique challenges and pressures that make it essential for them to be proactive with their investments.

Here, we list some of the prominent names of Muslim Women in the Islamic Finance industry

·         Dr Zeti Akhtar Aziz, Governor of Bank Negara, Malaysia
·         Dr Rabiah Adawiah, Islamic finance Shariah adviser with the Securities Commission of Malaysia
·         Dr Shamshad Akhtar: Governor of the Bank of Pakistan
·         Her Excellency Sheikha Lubna Al Qasimi, Minister of Foreign Trade, UAE
·         HRH Princess Mashaeil bint Fisal, President of the board of the business women forum in Saudi Arabia
·         HE Suhair Al Ali, Minister for planning and International corporation, Kingdom of Jordon.
·         Dr. Wan Nursofiza Wan Azmi (known as Dr. Sofiza Azmi) Author-Islamic Finance and Banking System
·         Dr. Engku Rabiah Ali (Malaysia)- most influential woman jurist
·         Dr. Irwani Abdullah (Shari’a advisor to Standard Chartered Saadiq, Malaysia)
·         Dr. Uzaimah Ibrahim (Shari’a advisor to Bank Islam Malaysia and Hong Leong MSIG Takaful)
·         Dr. Wafica Ali Ghoul - Thought leader in Islamic economics, banking and finance in Lebanon.
·         Samina Akram - Consultancy business in Islamic finance in London.


Summary
The history of Muslims is rich with women of great achievements in all walks of life from as early as the seventh century (A.D.). It is impossible for anyone to justify any mistreatment of women by any decree of rule embodied in the Islamic law, nor could anyone cancel or reduce the legal rights of women given in Islamic Law. It is also worthwhile to state that the status which women have achieved in the present era is due to her hard-work and dedication towards achieving something for their future.

Women in Islamic financing are much more able to follow the principals of Shariah than men because of their tunnel vision on details and efficiency; they are less likely to engage in speculative or risk-taking and the sale of financial assets; they have certain limitations but overall performance is encouraging. One of the main difficulties is that the men do not give them enough opportunity for training, education, top jobs and responsibilities.

If this indicates anything, it would demonstrate the divine origin of the Qur’an and the truthfulness of the message of Islam, which, unlike human philosophies and ideologies, was far from proceeding from its human environment, a message which established such humane principles as neither grew obsolete during the course of time and after these many centuries, nor can become obsolete in the future. After all this is the message of the All-Wise and All-Knowing God whose wisdom and knowledge are far beyond the ultimate in human thought and progress.






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