Islamic banks unscathed by global crisis

Khaled Al-Aboodi, CEO and general manager of Islamic Corporation for the Development of the Private Sector.

Islamic banks are the least affected by the current global financial crisis triggered by subprime tsunami in the United States, the CEO & general manager of Islamic Corporation for the Development of the Private Sector (ICD) said.

Crisis widens appeal of Islamic finance

"If global banking practices were based on Islamic practices then we wouldn't be seeing the kind of crisis we are living through now," he said.

Islamic financial institutions work on a philosophy of prohibiting transactions considered immoral and promoting greater social justice by sharing risk and reward. Investing in casinos, pornography, arm dealers or anything to do with pork is out: long-term investments in projects considered to benefit society are in.