Is America finally getting it? Are Americans finally realizing that riba (interest) is ultimately a dead end for all but a few?

Many Americans are disillusioned about the promises of Western-style capitalism. Can you blame them? This country was brought to its knees by greedy financiers wheeling and dealing in interest.

Recessions happen everywhere. No economy is immune to downturns. But understand this clearly:

The financial collapse that happened last year and is still going on today would NEVER happen under Islamic finance. It is impossible.

The primary reason is this: Capitalism benefits the individual. You can pollute all you want, cheat all you want, charge what you want, do pretty much, whatever you want, so long as you don’t break the law, which can change from day to day and year to year depending on which lobbyists have access to the politicians.

But Islamic finance is about helping the society. It’s not socialism, because that is also evil. Islamic finance doesn’t take property away from individuals. And it rewards those who work hard.

Nonetheless, it protects society from serious pitfalls and makes sure even the lowliest get a share of the pie.

Here’s how:

• No Riba (interest) – This is the most important factor of Islamic finance. You cannot make money by lending money. Loans are made to help, not to profit.
• Mandatory charity – The Islamic law of Zakah makes certain that the rich give a small portion of their wealth to the poor. How much is this portion: Just 2.5%.
• Encouragement to give charity all the time – Besides just Zakah, Muslims are also encouraged to give Sadaqah (voluntary charity) at all times to those who need it.
• Controlled spending – With no Riba (interest) there is very little incentive for large banks and wealthy people to loan money. Hence, no credit cards. And average people tend to spend within their means.

I hope more Americans look into the idea of Islamic finance and see the benefits it has to offer. This isn’t a Muslim country, so it’s very difficult to see how much good Islamic finance would compare to the other, more popular, more lucrative, non-Islamic options.

Still, I’m convinced it is the only financial system that will save this economy.