Watch and look at the following two material and post your reaction, thoughts and comments on this and today’s lecture here. It is pass fail but you must demonstrate you have engaged with the material and reflected on your reaction to today’s lecture.
The Rush for Africa’s Land, New York Times
The Next Breadbasket, National Geographic
Small-scale farmers increasingly at risk from ‘global land grabbing‘
Islamic financial activity has become global, Islamic finance is one of the most promising models, after years without significant advances in this area. The financing needs, the weakness of the current system, will encourage most countries to introduce this type of financing. Islamic finance aims at solidarity and cooperation between economic agents by putting capital and work on an equal footing. It is based on the sharing of profits and losses between the lender and the lessee, in other words, an economic justice in the contributions and the rewards of each of the two parties, conversely, in the classic banking system, the creditor derives an amount pre-established that represent the interest. In this case, by the loan agreement, the capital and labour belong to only one person who is the taker who handles them at his own risk, one can therefore wonder if there really is a justice from the economic point of view in this kind of proceeds. Because if the capital comes to deteriorate, it is the taker who will assume full responsibility for it. Beyond this constellation, Islamic finance prevents the repercussions of interest rates on the structure of society, Riba is challenged as it promotes social disparities by channelling wealth in one direction. In addition to the absence of Riba in the financial system, it is possible to establish justice between the holders of funds and those who intervene through their work. The disadvantage of recognizing a capital surplus in relation to work is not only of a moral nature. In fact, this kind of consideration leads us to belittle the values of man and to enhance the value of matter. In Islam only work and human effort deserve a material reward, money must not only produce money, but primarily create real wealth unless it is the product of actual work and effort. The Islamic bank is also committed to achieving a fair distribution of resources and wealth, so that the poor can have access to financing channels. Today, a lot of thought is being given to how to stimulate business creation. Countries are trying to find ways of financing to make sure that entrepreneurs are less indebted. In this case, the Islamic banking will be a powerful and an ideal solution to motivate entrepreneurs. Since the credits granted translate into real physical assets, the problem of inflationary money creation will no longer arise. Indeed, the intervention of Islamic banks cannot be inflationary because they are based on participation. Also the redistribution of wealth through Zakat will allow households to>