" O believers, fear God; and give up outstanding interest, if you are believers.

" O believers, fear God; and give up outstanding interest, if you are believers. But if you do not, then be informed of the declaration of war ( against you) by God and His Messenger; yet if you repent, you shall have your principal, neither you shall suffer nor inflict injustice." ( Sura Baqarah Verses 278-279).

It is critical for the long term growth of the economy that inflation and decline in the real value of money is contained due to the adverse effects this erosion has on social justice and welfare of the society. The Quran unequivocally states: And give full measure and weight with justice (6:152). So give full measure and weight without defrauding men in their belongings and do not corrupt the world after its reform.

This is better for you, if you are believers." (7:85, and see also 11: 48, 17:35 and 26:181). These injunctions towards honesty and justice in all measures apply not just to individuals but also to society and the state. This term encompasses all measures of value and not just conventional weights and measures.

Market forces The state should play an active and conscious role in not only determining priorities and guiding or challenging the scarce resources in the light of those priorities but also regulating demand so that occurrence of recession or inflation is avoided in order to lead to optimum efficiency in the use of resources.

Undisciplined self-interest and unguided play of market forces do not always work out for the best of all sections of society because of limitations or individual horizon, lack of awareness or appreciation of social costs, and unbalanced growth in different sectors of the economy unrelated to the welfare needs of the people. Previous…