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The City That Offers Sharia-Compliant
Loans to Muslim Business Owners

National Journal, by Alexia Campbell

Original Article

Posted By:StormCnter, 7/2/2014 5:49:00 AM

Inside the Karmel Square shopping mall in southwest Minneapolis, women wearing headscarves paint customers´ feet with henna. Others sell beaded caftans in narrow stalls. On the first floor, shopkeepers kneel toward Mecca to pray. Somali entrepreneurs in the neighborhood have transformed an abandoned machinery warehouse into this bustling indoor bazaar. Karmel Square is one of several commercial districts they´ve revived in recent years with support from an unexpected ally: the city. Since 2006, Minneapolis has loaned more than $1 million to Muslim business owners through a program that complies with sharia law, which prohibits Muslims from paying or earning interest in a

      


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Reply 1 - Posted by: 3XALADY, 7/2/2014 6:14:33 AM     (No. 9907892)

Trying to think of something nice to post. Can´t.

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Reply 2 - Posted by: Charactercounts, 7/2/2014 6:21:43 AM     (No. 9907894)

Well, as for interest, we´re halfway there. We pay interest, we just aren´t earning any.

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Reply 3 - Posted by: jerseygal, 7/2/2014 6:42:37 AM     (No. 9907905)

I could probably start a business too if I could get a no-interest loan and didn´t have to qualify. Where do I go for it?

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Reply 4 - Posted by: jgalt, 7/2/2014 7:05:52 AM     (No. 9907921)

What a lousy explanation...!
I still don´t get how this works.
I still don´t know how they get mortgages at zero interest.
From what I gather they found a way of paying interest without having to call it interest. Whatever distortion of reality helps this 12 century culture shoehorn itself into the present I guess is allowed...

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Reply 5 - Posted by: provide, 7/2/2014 7:06:27 AM     (No. 9907922)

They won´t earn interest but they´d accept a wife or goats.

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Reply 6 - Posted by: caddyjak, 7/2/2014 7:10:18 AM     (No. 9907925)

Interest free but you must offer your 8 year old daughters to be married to local muslim clerics.

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Reply 7 - Posted by: privateer, 7/2/2014 7:20:50 AM     (No. 9907935)

Other businesses should demand interest-free loans, citing: equal protection under the Law. Overwhelm the funding...Cloward-Piven them.

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Reply 8 - Posted by: Hobbiest, 7/2/2014 8:08:29 AM     (No. 9907993)

#4. It´s smoke and mirrors using a middleman who jacks up the resale price. Thus the payment for the time value of the money is hidden in the cost of whatever the business acquired. Example, the business needs chairs for the customers to sit on. The chairs will cost $500 at the wholesaler. The middleman receives the loan from the program, purchases the chairs for $500 and then charges the business $22 dollars a month over two years or approximately $528 for the purchase of the chairs. The interest is thus hidden as part of the purchase price to the end user.

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Reply 9 - Posted by: Hobbiest, 7/2/2014 8:14:52 AM     (No. 9908000)

Note that these businesses seem to be all low value added retail and service entities in which the labor is mostly done by women. Somali men seem to be some of the laziest people on the planet. It irked me to no end to visit the Twin Cities and watch the Somalid women,covered from head to toe in the stifling summer heat, carrying the shopping bags and the kid while hubby walked by her side in shorts, tee and flip flops always with empty hands.

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Reply 10 - Posted by: Elvira, 7/2/2014 9:02:08 AM     (No. 9908066)

Many years ago my ex and I looked at a home in Aquia Harbor, off of 95 outside of DC. At the time Carter was president and interest rates for a VA loan were16%. Needless to say the real estate market was hurting badly. The sellers were offering to finance the sale. The real estate agent informed us that the sellers were Islamic and that because of their religion they could not charge interest. Funny thing, they got around that nasty little issue by using a third party to take care of the financing.

The house was beautiful and spacious. However, the stench hit you when you walked in the door. They had just up and moved onto wherever and left trash and refuse in the garbage disposal, trash cans, bathrooms everywhere. I had never been through a home for sale left in that state. Apparently the real estate agents were so appalled that not one of them took it upon themselves to get the house in saleable condition. Needless to say we left and never looked back.

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Reply 11 - Posted by: marthaville, 7/2/2014 9:48:05 AM     (No. 9908120)

What is the message? No need for Muslim immigrants to assimilate into US society. And, we need to adopt Sharia law.

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Reply 12 - Posted by: coldoc, 7/2/2014 10:24:40 AM     (No. 9908168)

Good to know my money market fund is shariah compliant.

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Reply 13 - Posted by: Charactercounts, 7/3/2014 1:18:04 AM     (No. 9909171)

#10, Similar story here about the condition of a house. Filthy, piles of dirty clothing everywhere, mattresses on the floor with dirty linens, etc.

The realtor was aghast, but babbled on and on about "potential."

We switched realtors.

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