Sokoto State Government said on Sunday it has concluded plans to establish the Islamic Financing Unit under the state Ministry of Budget and Economic Planning to access funds from non-interest financial institutions.
The state Commissioner for Budget and Economic Planning, Dr. Shehu Kakale, announced this during a one day stakeholders’ meeting on Global Non-Interest Economy held in Sokoto.
The meeting was organized by the ministry in collaboration with the state Ministry of Finance and the Zakkat and Endowment Commission.
Kakale said the unit would assist people of the state to explore more opportunities provided by banks with non-interest windows.
He said: “The purpose of the meeting is to boost financial inclusion of our people who are left out due to certain Islamic principles.
“It is with great concern that our people are afraid to get a loan from the conventional banking system because Islam forbids interest.
“As such, we explore an avenue to brainstorm and find ways of assisting the people to boost their businesses in line with Islamic principles.”
Earlier, the Chairman of the state Zakat and Endowment Commission, Malam Muhammad Maidoki, said the Commission had earmarked N21.1 million to be distributed to women and vulnerable persons as soft loan.
Maidoki said women would constitute over 80 percent of the beneficiaries, adding that the money was part of donations to the Commission by the state government and individuals. (NAN)