Is Islamic finance a feminist force?

Islamic economics is about more than finance, writes Shelina Janmohamed, it is also a chance for economic justice

When the financial crash hit the global economy, one sector fared better than most: Islamic finance. Experts talked about how the inbuilt aversion to speculation, the avoidance of passing on losses and the profit-sharing structures protected Islamic finance from the crash.

Muslim countries strongly believe that Islamic finance has something positive to offer the global economy. And some non-Muslim countries are jumping on the Islamic finance bandwagon, too. It’s been called “ethical finance” in a nod to the social principles that underpin it. These are Islam’s economic principles, which bring a vision of social justice to life. Islamic finance aims to avoid exploitation, share wealth and ultimately, to create a fair society.

That fairness needs to encompass women, who are currently more economically, politically and socially deprived than men.

Like finance in general, this is a male-dominated industry. We need to change this, not only to open up access to more women, but for a more fundamental, socially profound reason: Islamic economics could be the most powerful tool of them all to radically transform women’s lives.

Islamic finance and banking is a central plank of development for many Muslim countries.

In the coming week, the UAE will host two big Islamic economy events. Sunday’s leadership round-table, which is part of the Global Islamic Economy Summit, was initiated last year, while Monday’s Halal Expo Middle East is jointly organised by the UAE and Pakistan. In October, Dubai hosted the 10th World Islamic Economic Forum, which aims to be the Muslim world’s equivalent of Davos.

So, it’s time we put those developing an Islamic economic vision on the spot. The highest aim of any society is to provide justice and freedom and enable everyone to seek the path of self-fulfillment. Society as a whole has a responsibility to eradicate poverty. Rights – economic and otherwise – are to be protected. And rights and fulfilment for both men and women can and should be delivered.

Islamic finance’s inbuilt principles of social justice can create a whole new framework within which to improve women’s situation. It is not about making more money for more men but about creating a better society. And that includes improving the lot of women.

This is most definitely not about symbolic gestures such as women’s queues in banks. Across the religious spectrum, whether the viewpoint be orthodox or liberal, it’s clear that Muslim men and women both have economic rights and control of their money. Therefore, Islamic finance can deliver economic justice, which encompasses the rights that women are fighting for.

Feminist economics is a substantial discipline and Islamic economics, with its inbuilt notion of social justice, could add a whole new dimension.

This is why conferences on Islamic economics should not limit themselves to the technicalities of finance. Instead, they should consider how to deliver gender justice. It’s time to see an alliance between Islamic economists and Muslim women activists.

Shelina Zahra Janmohamed is the author of Love in a Headscarf and blogs at www.spirit21.co.uk