Optimistic about introduction of Islamic banking in India: MD Bombay Mercantile Bank

Optimistic about introduction of Islamic banking in India: MD Bombay Mercantile Bank

Inagurates refurbished branch at Lalchwok

Managing Director of Bombay Mercantile Bank – a cooperative bank for the minority, Wednesday expressed optimism about the introduction of Islamic banking in India, despite Reserve Bank of India categorically denying permission for it recently.

“BMB has constituted a committee of experts who are going to submit their report on the implementation of the Sharia banking in India,” said MD, BMB, ShahAlam Khan who was speaking at the inauguration of BMB branch at LalChowk.

The bank has shifted its branch from MA Road to LalChowk after it was damaged during 2014 floods.

“Although recently RBI has denied permission to Islamic banking, but we are optimistic that in one way or the other we would get approval to start Sharia banking,” he said. “Bombay mercantile bank is bank of minorities and we have deep connection with Kashmir.”

“When turmoil started here all other banks shifted from Valley. But despite one of our employees was killed, we didn’t shift. Even though RBI also suggested us to do so,” he said adding that “people of Kashmir are honest and they won’t cheat you. It is our experience”.

“Despite such a situation, all our advances were repaid barring few, that too were defaulted by some influential people not common man or small trader,” he said adding that during 2017 floods the local staff saved Riyals worth Rs 7 crore from getting soiled.

“It shows about the character of Kashmiris. Had it been any other place they would have taken the money home and said it was damaged by floods,” he said adding that bank would increase its activities in the Valley.

Chairman, BMB, Zeeshan Mehdi while speaking on the occasion said “Bombay Mercantile Bank is for the Muslim community and we will do whatever is in our capacity to help our people.”

He also said that bank would increase banking activities in Kashmir.

Legal advisor of the bank, Advocate Bashir Sidiq  hailed the bank for its efforts to continue operations in Kashmir despite all odds.

“Bombay Mercantile Bank, a cooperative bank, has been established for the minority in the country. The bank has two branches in the Valley. BMB branch at MA Road was inaugurated in Kashmir in 1980 by the two political stalwarts of that time, Sheikh Abdullah and Mirwaiz Muhammad Farooq.”