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Interest Rate

Interest rate should be fixed
In such a manner and style
So that both the commercial banks
And their clients are benefited
But unfortunately many people
Incur loss as a result of
High interest rate

The central bank should encourage
The commercial banks
To go for investment
In the lucrative sectors
In order to create more fund
And to enable them to give more loans
And lower interest rate
For the entrepreneurs

If the commercial banks
Lower interest rate
For the depositors
The latter will not be discouraged much
Since people deposit money mainly
To keep it in a safe place

If the commercial banks
Lower interest rate
For the entrepreneurs
Many more people will take loan
As a result
Both the parties will be benefited

According to Islam
If there is more good elements
Than bad effects
Exist in a thing
It becomes halal

Therefore if most of the people are benefited
By taking loans it becomes okay

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