An Austrian bank has announced it will be piloting an Islamic current account in February
An Austrian bank has announced it will be piloting an Islamic current account in February, the first of its kind in the country, The Independent reported.
Vienna-based BAWAG P.S.K. said it will offer current accounts that adhere to Shariah law, which prohibits the charging of interest or making money on savings.
The Islamic law also prevents adherent banks from dealing with businesses that are considered sinful, or un-Islamic. These include any that deal with alcohol, weapons, or gambling. Banks get around laws on “usury” by lending money without interest fees, but encourage patrons to pay back money borrowed in installments instead.
Islam is Austria’s second largest religion and BAWAG PSK has said their target audiences are the 600,000 Muslims living in the country
