Thursday, December 23, 2010

When risk is a four letter word

Assalamu ‘Alaikum

When risk is a four letter word

The objection of Islamic Syariah to riba has never been about the size of the interest charged. It is also not confined to consumption loans; it is prohibited also to investment loans. Investment loans, isn’t that a misnomer in the first place? How could an investment be a loan, and how could a loan be an investment? That is the objection of Syariah to riba, an investment cannot be a loan, and a loan cannot be an investment. But we accepted the fraud and spun, that a loan is an investment without question anymore.

Monday, November 22, 2010

Excerpt on Shaikh Imran Hosein’s writing on “The Importance of the Prohibition of Riba in Islam”

Assalamu 'Alaikum

Excerpt on Shaikh Imran Hosein’s writing on “The Importance of the Prohibition of Riba in Islam”

(Imran N. Hosein

Shaykh Imran Hosein was born in the Caribbean island of Trinidad in 1942 from parents whose ancestors had migrated as indentured labourer from India. He is a graduate of the Aleemiyah Institute in Karachi and has studied at several institutions of higher learning including the University of Karachi, the University of the West Indies, Al Azhar University and the Graduate Institute of International Relations in Switzerland.

Tuesday, August 24, 2010

Kelantan Launches Gold Dinar

Subject: Kelantan Launches Gold Dinar (see below)
From: zahid aziz (
Sent: Saturday, August 21, 2010 6:20:52 AM
To: mcoba google (

Assalamu "alaikum,
On the above subject I would like to share my conversation with a batchmate.

Class of '72, Sulaiman House

Assalamu 'Alaikum,

There is a lot of literature on this. I will forward some to you. Its quite complicated but there's truth behind it once you understand it. Basically it is money backed by gold vs money not backed by gold. Money backed by gold theres some discipline and no room for injustices by nations. USD was once backed by gold; now no longer so. they created a situation where USD is international currency and therefore have permanent demand for it. So US govt pay international debts by simply printing more and more USD. This is bad news and will explode soon.

Thursday, July 22, 2010

The Emperor Has No Clothes!

America is Insolvent. Why Would China's Rating Agency Rate US Sovereign Debt AA When it is No Better Than Junk?

By Matthias Chang

URL of this article:

Global Research, July 19, 2010

For all intent and purposes, the United States is insolvent.

This is not my personal assessment but that of world renowned “experts” and economists, and financial institutions. Just google “US Debts” and you can find thousands of analysts stating that there is no way that the US can ever pay off its debts. The US cannot even liquidate the accumulated interest on the outstanding debts. The debts are in the trillions!

Tuesday, June 29, 2010

Risk Managing An Islamic Bank Beyond Fear of Monetary Loss

Assalamu 'Alaikum
A Risk Management Assignment UIAM Postgraduate Studies in Islamic Banking  and Finance by Muhammad Zahid Abdul Aziz
Identify and discuss the concept of risk management described by the following verses of Al-Quran and Hadiths. Based on the concept you have discussed, give the most appropriate definition of risk and risk management of IFIs:
Surah Ta Ha : Verses 115 to 119
Al-Shu’ara : Verses 60 to 63
Surah Maryam : Verses 22 to 25
Hadiths as described below.
 Using the concept and definition of risk and risk management you have developed; draw up a comprehensive Enterprise-wide Risk Management Framework for a typical Islamic Commercial bank operating in a country you are most familiar with its external and internal environment.

Thursday, June 3, 2010

An act of God's children

Dear World,
They claim they are God's children ; the rest of mankind aren't. Perhaps thats why they feel they are entitled to massacre unarmed civilians as they have done so many times before.

For how long will ordinary American citizens who probably feel the pain we feel, allow their leaders to be subservient to this despicable regime?!

Tuesday, May 4, 2010

The Risks of Risk Management

Assalamu ‘Alaikum,

The Risks of Risk Management

A Class Paper on Risks Associated with Islamic Financial Institutions (IFIs) [UIAM]
by Muhammad Zahid Abdul Aziz

In my view the biggest risk associated with IFIs is the risk of non compliance with Syariah. This risk is not just a subset of so many risks faced by the IFI but it is a risk that permeates every aspect of the IFI’s being as an entity. Let’s tackle the issue from the top, the risk of misinterpreting the shape and form of an IFI truly endorsed by Syariah. In our rush to have an alternative Financial System generally and an Islamic Financial Institution in particular we never truly addressed the philosophy, the epistemology and the ontology of the new knowledge we are about to create for it is in indeed a knowledge we are about to create in as much as it is a new financial system.

Monday, April 5, 2010

School's out

Assalamu ‘Alaikum,

School’s out

It’s been a long while since I had the happy ‘after the exams feeling’. That’s how it was Sunday noon when we dropped pens after the last semester finals paper. We were a motley bunch including Islamic bankers, former Islamic bankers, freshie grads, those who returned to U after a while in the real world, former newspaper journalists, young Sharia scholars and a bunch of practicing lawyers. It had been a tough semester for us this time with no easy ride subjects; all core topics in the development of the Islamic worldview.

Sunday, March 28, 2010



(Author : Muhammad Zahid Abdul Aziz, Director, Muamalah Financial Consulting Sdn Bhd - February 11 2010.

(A term paper for Islamic Economics Msc Islamic Banking & Finance IIUM)


The paper will argue that the Western originated subprime crisis is a crisis that emanates from the fundamental flaws in the conventional system. Western analysts writing on it are still missing the point; they do not address the issue of the world view. They do not know what they do not know. Application of the Islamic world view and the resultant Islamic system will heal all the pains. However it’s a gigantic task to get the world to listen and appreciate the Islamic world view. A journey of a thousand miles begin with the first steps.

As far as Sukuk is concerned, the Islamic Financiers will inherit the Western ills for so long as they do not move away from debt Sukuk and focus on the more Shariah compliant equity Sukuk. Sukuk with equity names but decidedly debt features pleases the Sukuk players but contributes naught or little to the achievement of Maqasid AlShariah in Islamic Finance.

Saturday, February 20, 2010

Commendable Act but its no saviour

Commendable Act but its no saviour


The Central Bank Act 2009 was gazetted on September 3 2009 to replace and repeal the Central Bank of Malaysia Act 1958. The Act create international history as being the first Central Banking Legislation anywhere in the world to openly declare a nation is operating under a dual financial system, conventional and Islamic. Although acknowledged as the country with the most advance and comprehensive Islamic banking and finance legislation, local players understand the complexity, and I daresay, helplessness of the situation they sometimes find themselves in.

Tuesday, February 16, 2010

Will the real Islamic Finance please stand up

How Islamic finance missed heavenly chance

By John Foster Former editor, Islamic Businesss & Finance magazine

Amid the confusion and consternation of the global financial crisis, Islamic banking had a gilt-edged chance to step into the breach. It is hard to remember amid screaming headlines proclaiming record bonuses for the bankers of Wall Street and the City. But just over a year ago, the conventional financial system was on its knees.

Monday, January 11, 2010

An exchange between friends on the church attacks in Malaysia

From: Zahid Aziz <>
Date: January 11, 2010 7:01:23 AM SST
To: Khoo Cheng Hean <>
Subject: Re: Global news - 715,000 articles on church attacks in Malaysia.

Dear Khoo,

All right minded Muslims deplore the desecration of all places of worship, no matter churches or temples. We disassociate ourselves with such acts as forbidden by our religion.

However non-Muslims of all faith should also understand the real reason why Muslims abhor the use of the word Allah by Catholics and Christian missionaries.