Presenter answers to a few important questions: Q1:Why the proposed new banking system isn't being practiced anywhere around the world? Answer The MOST PROMINENT MONETARY ECONOMIST Milton Friedman’s explanation for the failure to implement Full Reserve System (Friedman (1960): "The vested political interests opposing it are too strong, and the citizens who would benefit both as taxpayers and as participants in economic activity are too unaware of its benefits and too disorganized to have any influence.” He saw little difficulty in converting to full Reserve Banking. As he put it: “There is no technical problem in achieving a transition from our present system to 100% reserves easily, fairly speedily and without any serious repercussions on financial or economic markets.” As to Friedman’s use of the word “speedily” he was right to say that the conversion could be done more or less overnight.
People in comments are saying irrelevant things to the guest but please try to respect your guest. Before this video I didn't even know about this system properly but at least this guest taught (learned) us a lot of things in this video which is very useful 👍🏻 Although he's not clear to many people but at least he's trying to teach something and we respect him ❤ Learning is learning ❤
I agree 100 percent with what they are saying, they have a problem with explaining a little bit, the rest is 99 percent right, they are absolutely right, this is a bubble, it can burst anytime.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
PRESENTER ANSWERS TO A FEW IMPORTANT QUESTIONS: QUESTION 3: About Gold and Bitcoin Detailed answers have been provided in response to specific questions. Please refer to them.
iss system mein money create nahain hoti to bank k pass sirf depositor ki money hogina wr usay khud khi loan daina hoga bank just transaction agent ka kirdar ada karayga to bank to risk free hogya. Iss surat mein agar depositor ney khud hi risk laina hai to woh stocks exchange par kio na invest karay jaha say wo jab chahay nikal sakta ha?
Banks will operate like mutual funds to make investments and provide liquidity to businesses. They will offer both low- and high-risk investments in the form of leasing/Ijara and profit-sharing arrangement. The investment will be less risky for individual investors because it is spread across a large pool of companies and their direct contracts with businesses. In the stock exchange, investments are riskier but more rewarding. Banks may also invest in capital markets. In the 20th century, the American economy grew tremendously by enabling companies raising money through capital markets.
We need to understand that the money creation process by the banks just cause inflation. Full-Reserve banking is the solution to the constant currency devaluation problem being faced worldwide.
due to the unlimited supply of paper currency inflation will always raised in long-term , to control inflation its must to limit the supply of paper currency.
Sorry to say that, sir ko samjhana he nhi arha to implement kaisy hoga? Plz podcost upload krnay sy phlay khud bhe daikh lia krain. Check 21:08 to 21:16
sir inka kehnay ka matlab yay hai k agar ek depositor investment kar na chah raha ha through the bank tu phir bank us ki money ko utha kar loan lay nay walay ko dein day ga or beach mein apna 1 % rakh lay ga or agar invertor or loan lay nay wala ka bank same hai tu State Bank ko inform karnay ki zarorat nahi agr bank different hai dono k darmiyan tu phir state bank record safe kary us ki waja ya hogi k state Bank ko pata hona chaeye different bank k darmiyan transaction record ka. I hope k ap ko samaj a ya hoga
We need to put it in efforts to understand how fractional banking system is ripping us apart by causing constant inflation and currency devaluation.. The proposed full reserve Banking is the solution presented in the podcast.
I think ke concept mein dam he per is model ko bayan karney keliye mazboot spokesperson ko is per bat karni chahiye takey masses or technocrat tak bat easily pouch sakey.
Am confused … the global standard for bank Liquidity ratio is 100% and this 100% is divided into risk profiles of what the bank can do with investor monies … and the bank investments are graded based the risk profile of the borrower …and the risk profile allows the bank to calculate the interest that they can charge the borrower … hence credit card risk attracts as high as 40% interest and a home mortgage attracts 8% ( since Tis backed by real estate security ) so the bank essentially has to manage their debt in such a fashion as to minimize their own risk and hende the liquidity ratio constraint given by govt to ensure banks have sufficient funds in case of a run on the bank
Less than 5% fractional reserve being practiced nowadays worldwide which is the main source of constant currency devaluation and high inflation. If banks switch to full-reserve banking then these problems will be addressed as presented in the podcast.
Exactly my question, if i give my money to bank and bank gives that money to you (as loan), but at the same time if I want my money back, banks cannot give me because it's now yours
In a full reserve banking system, deposit money will be risk-free due to the 100% reserves held at the SBP (State Bank of Pakistan) against it. There will be no interest or profit earned on deposits, but their value will be fully protected due to the absence of money expansion. For investment purposes, funds will be surrendered to banks or investment trusts, which will then invest or transfer the money to businesses. The investment will be made for a specific period say 6 months, and thereafter it may be redeemed to the investors
@@QanitKhalilullah Sir what will be the source of the 100% deposit-equivalent amount maintained with SBP? Will it be from the equity of private bank's shareholders?
Masla tab boga jab aap bank jeyengay awr apna deposit withdraw karain gay. Bank walay kahay gai aap ka paisa aik saal ki loan par dosray shaks ko dia hai. Sound like investment in sukuk jaha aap ko monthly ya yearly profit milta hai magar withdraw aap maturity par he karay ga.
Thanks for the breakdown! I have a quick question: I have a SafePal wallet with USDT, and I have the seed phrase. (alarm fetch churn bridge exercise tape speak race clerk couch crater letter). How should I go about transferring them to Binance?
Gold currency is neither practical in the present circumstances nor desirable in view of the broad Islamic teachings that advocate for ease, simplicity, and following what is commonly recognized as beneficial (ma'ruf) while removing its bad aspects. Just as Islam does not require us to travel on camels or fight with swords as was done by the Prophet (PBUH), it does not mandate the use of gold as currency. Although the gold standard was used until the 1930s internally in the USA and other Western countries, gold as currency has not been used for many centuries, and we cannot turn back the pages of history. The current quantity of gold is highly insufficient to support the present level of economic transactions. For example, in Pakistan, the broad money quantity is approximately 35 trillion rupees, while the total quantity of gold, mostly in the form of women's jewelry, would not exceed 3 trillion rupees at current prices. It is impractical to expect to collect this precious jewelry from our women just to store it in vaults as reserves. Even if we could gather all the gold, it would amount to no more than 5-10% of the total money supply. A fractional reserve system based on such a small amount of gold would create significant instability, similar to the issues faced in the West with the gold standard fractional reserve system before the 1930s. Currently, over 90% of transactions are conducted electronically, where money functions as a unit of account by keeping records. This provides tremendous transactional benefits of ease and speed, along with financial instability due to the fractional reserve system. This instability could be eliminated with the implementation of a full reserve system. Under the fractional reserve system, over 97% of new money is being created in the world by commercial banks when they issue loans for profit motives. In a full reserve system, private banks would not be able to create money for profit, and the money supply would remain constant. Not a single rupee would be added to the system without the permission of a central monetary authority, which would control the money supply through a 100% reserve system. This system is more airtight compared to a gold currency, where inflation could occur due to new gold discoveries, as witnessed in the 18th and 19th centuries. Many renowned economists, such as Milton Friedman and Irving Fisher, were in favor of full reserve banking. Money is a public good and its creation should not be given to private bankers but should be managed by the state. To ensure price stability and avoid demand-side inflation or deflation, new money would be created by the monetary authority without debt, with public announcements up to the GDP growth level. This money would be spent to meet the basic needs of poor people and fund infrastructure projects, which is another source of income for the government, improving both the demand and supply sides of the economy. Using other commodities as currency would only add huge complexity and hardship to the system without any benefit or workable solution. If we want to use just a reference point, why wouldn't we use the total GDP of an economy, as a full reserve system would do, when creating new money to ensure price stability across an economy?
Just let him talk he was making perfect sense, instead of interrupting without understanding anything, rather do some research before the recording. Usually, your questions are good, but disappointed this time and spoiled it. Some cringe examples: - Crypto - GDP was less than 1%
Pakistani economy crises big reasons r power Generation at imported fuel, prievate vehicals at imported parts and fuel. Investement in non productive secter realstate
Full reserve Banking system will generate revenue stream from the following two main functions: 1. Amanah based safe house where some fees is charged for the customer services but 100% reserve is maintained with no credit creation. 2. Investment branch where customers deposit are invested on profit sharing basis in some real world projects after seeking their approval. Bank will also be sharing the profit on risk sharing basis.
Need more explanation. Good discussion but don't explain sood properly. Sood is a term which has ralitive meaning which have to define with time in favor of public.it is not constant.just like lot of reality now science discovered , which are not known to man. It's not against Islam, it's true Islam
He merges religious practices with modern banking, which creates confusion and leaves him unable to provide coherent explanations. Instead of offering clarity, he often resorts to repetition or forced arguments, trying to impose his vague ideas on the audience. This is evident in the overwhelming reactions from viewers reflected in the comments. As a Chartered Accountant with 15 years of international experience in capital markets and banking, I struggle to draw any meaningful conclusions from his explanations. Clearly, he was not adequately prepared for this interview.
1. The concept of 'ma'ruf' holds significant importance in our din. Prevalent good things, customss, traditions and thoughts should be adopted 2. Please refer to my detialed answers to FAQs given in the comment section of their podcast 3. I am focused only on reforming the current banking system, which is the major cause of the current economic and social problems including huge govt debt, Interest and inflation. However, I am aware that vested personal and political interests will oppose and attempt to confuse and misrepresent our proposal. The most prominent monetary economist Milton Friedman provided a clear explanation for the failure to implement a Full Reserve Banking system: "The vested political interests opposing it are too strong, and the citizens who would benefit-both as taxpayers and as participants in economic activity-are too unaware of its benefits and too disorganized to have any influence.”
The person didn't know anything about crypto properly yet constantly saying is se illegal kam ho raha ye unaware of that every transaction is traceable and can track any illegal activity in Blockchain, first I thought I will learn something after hearing his views I realized I wasted my previous time listening this podcast
یہ حضرت جو طریقہ بتا رہے ہیں اس میں اور کنوینشنل بینکنگ میں فرق کیا ہے؟ بات تو وہی ہے بہت سارے بینک ہوا میں اے ویلیو جنریٹ کریں یا ایک سینٹرل بینک کرے طریقہ کار تو وہی رہا 😅😅😅 جب اسٹیٹ بینک نے بھی آئیڈینٹیکل منی رکھنی ہے تو دوسرے بینک اور جو ابھی فعل ہیں ان میں اور اسٹیٹ بینک کے رکھنے میں فرق کیا ہوا 😅😅؟ اگر بینک کا مطلب ہی sovereign authority over transaction ہے تو وہ sovereignty چاہے ایک سینٹر بینک کے پاس ہو یا مختلف بینکوں کے پاس تقسیم ہو انکے ریونیو کیا بنیاد پر بات تو ایک ہی ہے 😂😂😂 چاچا فضول میں کنویزیا رہے ہیں 😅😅 پیسا اور ویلیو ہمیشہ سے کریٹڈ ہی رہی ہے inherently دیکھا جاۓ کسی چیزیں کی قدر انسان ہی تخلیق کررہے ہے چاہے پیپر منی ہو کی بھی ایسٹ کی صورت ہو فضول سقراتی جھڑنے کا فائدے نہیں ہے 😅
شاید اپ کو سمجھنے میں تھوڑا سا مسٹیک لگی ہے ان کی بات کو تھوڑا غور سے سمجھا جائے تو ان کے کہنے کا مطلب یہ ہے کہ ایک بندہ اگر ایک بینک میں 10 لاکھ روپے ڈیپوزٹ کرواتا ہے تو بینک اس چیز کا اگے قرضہ دے دیتا ہے بینک کے پاس اس کا کوئی ایسٹ نہ رہا اور کسٹمر کے اکاؤنٹ میں بھی وہی ایک لاکھ روپیہ شو ہو رہا ہوتا ہے بینک رننگ اس چیز پہ ہی کرتے ہیں نا کہ بینک ہمارے پیسوں کو اگے انویسٹ کر دیتے ہیں کسی کمپنی میں دے دیتے ہیں جب میں نے 100 روپیہ ڈیپوزٹ کیا بینک نے اس پرافٹ کمانے کے لیے کیونکہ بینک تو اگے اپ کے پیسے کسی کو دے گا تو اس سے وہ پرافٹ کمائے گا نا تو اس سے ہی بینک کے امپلومنٹ کی سیلریاں اور جو بینک کا نظام ہے وہ چلے گا اگر میں نے 100 روپے دیا اور بینک نے اپنے پاس ہی رکھ کے سو مجھے پھر واپس کر دیا تو بینک کو کیا فائدہ ہوگا اب ہمارے پاکستان میں یا پوری دنیا میں تقریبا یہی نظام ہے کہ فائ پرسنٹ سٹیٹ بینک کا رول ہے نا کہ اگر میں نے اپ کو 100 روپے مثال کے طور پہ ابھی دیا ہے اور پانچ روپے بینک نے اپنے پاس رکھنے ہیں اور بینک کو یہ اختیار ہے کہ وہ 95 روپے جو ہے وہ کسی اور کو دے دے گا اور اگر میں 100 روپیہ اگلے دن ہی اپ نکالنے جاتا ہوں تو وہ 100 روپے مجھے واپس بھی مل جائے گا مثال کے طور پر میں نے بینک کو 100 روپیہ دیا بینک نے پرافٹ کمانے کے لیے یا منافع کمانے کے لیے وہ 100 روپے میں سے 95 روپے اپ کو دے دیے قرضے کی صورت میں منافع کمانے کے لیے تو میں اگلے دن ہی وہ 100 روپے نکالنے جاتا ہوں تو وہ مجھے 100 روپے واپس بھی مل جاتا ہے میں وہی 100 روپے لے کے میزان بینک سے الحبیب بینک میں ڈیپوزٹ کرتا ہوں وہاں بھی یہی سائیکل چلتا ہے وہ پانچ روپے اپنے پاس رکھے گا اور 95 روپے پھر اپ کو دے دے گا میں پھر اگلے دن وہاں سے 100 روپے نکال لیتا ہوں اس طرح یہ جو ہے نا ان کے سمجھانے کا مقصد یہی ہے کہ اس سے ایکسٹرا منی کریٹ ہوتی ہے 100 روپیہ تو جو میں نے بینک کو دیا تھا وہ میرے پاس واپس اگیا اور اپ کے پاس بھی 95 روپے چلے گئے
This guest does not have proper knowledge or he is unable to explain in easy words. He is talking too fast without considering the level of the viewers. The host of this programme should intervene and make this guest to be “less hyper”. This guest is hyper and excited. I do not understand the reason for such a behaviour
This guest is too hyper and too excited. He is trying to explain the complexities of the financial system and the banking system in a hurry. There is no reason why he should be rushing. It looks like the guest himself is not very clear about what he is trying to explain. Faisal Waheed is sitting with a blank face which means he is unable to comprehend the lecture of this “financial guru”. ❌
I believe the guest is having difficulty articulating his thoughts and explaining his concepts clearly. I recommend conducting a trial interview before uploading this one, as it seems to be creating confusion and a lack of clarity. It appears that the guest recently encountered some banking information but did not adequately prepare or understand the anticipated questions. As a result, he has attempted to explain a newly learned concept without full comprehension, which has led to a total failure in communication. The interview does not provide any valuable insight; instead, it exacerbates the confusion among viewers, as reflected in the comments. It is essential for anyone appearing on a show to prepare thoroughly, as a lack of preparation can negatively impact the reputation of the guest, the host, and the channel or platform.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
@@teknikaisb2699 I encourage you to consider the feedback from other viewers, as my observations reflect their sentiments as well. It’s clear that the presenter focused more on showcasing his newly acquired knowledge than on adequately preparing for questions. As a result, many viewers found his explanation challenging to grasp. It's important to recognize that everyone has the right to express their opinions, and I urge you to engage with the video honestly instead of defending the guest as if you were their representative.
@@saadkhalil5490 He mixed religious practices with modern banking, which has left him going in circles and unable to provide clear explanations. Instead, he tends to repeat himself or offer forced justifications, as if trying to impose his unclear thoughts on the audience. The responses from the majority of viewers are evident in the comments. As a Chartered Accountant with 15 years of experience in capital markets and banking abroad, I find myself unable to draw any conclusions from his explanations. In short, he was not prepared for this interview.
ye saray centralized banking k supporters hein bhai itni itni age hogai hai per apnay apko field ki advancement se upgrade nhi in babon ne pakistan bhatta baithaya hai
Ye Kis ko le ker aagay-? In Sahab ko na kuch maaloom hai aur na hi ye Sahab explain ker paa rah hain. Very disappointing guest. Raftar channel should try to have State Bank Governor as a guest. Or the Chief Executive Officer/President of any commercial banks. Mr Sirajuddin Aziz is currently the Banking Mohtasib/Ombudsman for Pakistan. He is a seasoned bank executive. You may try to have him as your guest. His Office is located on the 5th floor-Shaheen Complex Karachi. I am not sure if he will or will not agree to be on a television channel
I don't think the guest for well educated on the topic himself. He should first read and understand how the financial system came into shape over centuries. I'm also against interest, hence conventional banking, but the points he raised were not even realistic.
brother these concepts are also discussed in the writing of Irving Fisher, Milton Friedman and Simons. They all advocated in favour of Full Reserve Banking, moreover ORO & Zenus are two full reserve banks. Positive money of UK is also advocating for this, nothing out of thin air!
This guest is very hopeless. Total disappointment. In fact this guest has spoiled the reputation of Raftar Channel. This guest is unable to explain anything. This guest is a waste of time
@@muhammadahsan1893 dont create nuance. Banking systems' flaws are one thing, sheer incompetence and collusion is quite the other. Any system has demerits, no system is absolute, our problem is that we cannot judge right 'the right way'!. Further, regarding researches, whhich are often hidden under assumptions, for instance, like auto-regression and time variance, It is very hard to make out 'what is the research of research'!
@@muhammadahsan1893 lastly, dont just say 'many economists', share something tangible and credible like detailed interview or very focused research or application in the field!. In short, dont fool us!
Bitcoin can undergo a hard fork to increase its supply, as was the case in 2018 with the split between Bitcoin and Bitcoin Cash. Most prominent cryptocurrencies, such as Ethereum (the second most popular cryptocurrency), have a theoretically unlimited supply. This makes cryptocurrencies inherently speculative in nature, and they do not fully meet the basic functions of money-such as being a stable store of value, medium of exchange, or unit of account. While other decentralized finance (DeFi) innovations, like tokenization and blockchain, have promising potential to enhance efficiency, their practical applicability in the modern financial system is limited. This is particularly true in the context of risk-averse regulators who are cautious about embracing these technologies.
Money is a public good, and its creation should not be left to the private sector driven by individual profit motives. Instead, it should be used for the benefit of the public at large, in alignment with the views of both social and liberal economic theorists. This is best achieved under a full-reserve banking system.
Bitcoin can undergo a hard fork to increase its supply, as was the case in 2018 with the split between Bitcoin and Bitcoin Cash. Most prominent cryptocurrencies, such as Ethereum (the second most popular cryptocurrency), have a theoretically unlimited supply. This makes cryptocurrencies inherently speculative in nature, and they do not fully meet the basic functions of money-such as being a stable store of value, medium of exchange, or unit of account. While other decentralized finance (DeFi) innovations, like tokenization and blockchain, have potential to enhance efficiency, their practical applicability in the modern financial system is limited.
Money is a public good, and its creation should not be left to the private sector driven by individual profit motives. Instead, it should be used for the benefit of the public at large, in alignment with the views of both social and liberal economic theorists. This is best achieved under a full-reserve banking system.
@muhammadahsan1893 There are plenty of army generals talking of posting the pakistani flag in Delhi!! It's delusional. He is also living in it. He has right to imagine anything he wants but whether it will work or not is for debate among among finance experts from around the world. Unfortunately, Raftar lacks any finance pundits to debate sense into him, and so he goes on delusional rants for whole episode.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
Presenter answers to a few important questions:
Q1:Why the proposed new banking system isn't being practiced anywhere around the world?
Answer
The MOST PROMINENT MONETARY ECONOMIST Milton Friedman’s explanation for the failure to implement Full Reserve System (Friedman (1960):
"The vested political interests opposing it are too strong, and the citizens who would benefit both as taxpayers and as participants in economic activity are too unaware of its benefits and too disorganized to have any influence.”
He saw little difficulty in converting to full Reserve Banking. As he put it:
“There is no technical problem in achieving a transition from our present system to 100% reserves easily, fairly speedily and without any serious repercussions on financial or economic markets.”
As to Friedman’s use of the word “speedily” he was right to say that the conversion could be done more or less overnight.
Loved it. Plz we need more such programs on concept of money, inflation and economy. Thanks!
People in comments are saying irrelevant things to the guest but please try to respect your guest. Before this video I didn't even know about this system properly but at least this guest taught (learned) us a lot of things in this video which is very useful 👍🏻 Although he's not clear to many people but at least he's trying to teach something and we respect him ❤
Learning is learning ❤
chutiya guest do not know about proper banking
He is hyper and excited. He is too fast. He is unable to construct his response in a proper manner. He does not know how to construct sentences
Might be. But most of the audience who are scolding them can't ever deliver or understand someone a basic concept
@@NABEELAZIZ yeah it was very informative no doubt.
I agree 100 percent with what they are saying, they have a problem with explaining a little bit, the rest is 99 percent right, they are absolutely right, this is a bubble, it can burst anytime.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
PRESENTER ANSWERS TO A FEW IMPORTANT QUESTIONS:
QUESTION 3: About Gold and Bitcoin
Detailed answers have been provided in response to specific questions. Please refer to them.
I got lost after 20 minutes, but this looked interesting. I'll try to watch it again later.
Mera aaj ka quota pora hogaya shayad😊
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
In Quran Allah Ta""Allah says that taking interest/ Ribba is in war with Allah and Prophet Muhammadur Rasoolullah Sallallahoo Allayhay Wasalim.
An idea worthwhile to explore.
Pakistan mei hum safe ni money bank ka khn safe hugi😂
You are Karachi Gutkha Khor
Nice podcast
Good effort
But in Pakistan
Reality
Idhar human life ki protection nahi ,aap peso ki protection ki BAAT kr rahay.
What is the social media of guest? I need to follow him.
Good analysis
iss system mein money create nahain hoti to bank k pass sirf depositor ki money hogina wr usay khud khi loan daina hoga bank just transaction agent ka kirdar ada karayga to bank to risk free hogya. Iss surat mein agar depositor ney khud hi risk laina hai to woh stocks exchange par kio na invest karay jaha say wo jab chahay nikal sakta ha?
Banks will operate like mutual funds to make investments and provide liquidity to businesses. They will offer both low- and high-risk investments in the form of leasing/Ijara and profit-sharing arrangement. The investment will be less risky for individual investors because it is spread across a large pool of companies and their direct contracts with businesses. In the stock exchange, investments are riskier but more rewarding. Banks may also invest in capital markets. In the 20th century, the American economy grew tremendously by enabling companies raising money through capital markets.
We need to understand that the money creation process by the banks just cause inflation.
Full-Reserve banking is the solution to the constant currency devaluation problem being faced worldwide.
due to the unlimited supply of paper currency inflation will always raised in long-term , to control inflation its must to limit the supply of paper currency.
Sorry to say that, sir ko samjhana he nhi arha to implement kaisy hoga?
Plz podcost upload krnay sy phlay khud bhe daikh lia krain.
Check 21:08 to 21:16
Very right. Interesting topic but made it too technical for a layman to understand
sir inka kehnay ka matlab yay hai k agar ek depositor investment kar na chah raha ha through the bank tu phir bank us ki money ko utha kar loan lay nay walay ko dein day ga or beach mein apna 1 % rakh lay ga or agar invertor or loan lay nay wala ka bank same hai tu State Bank ko inform karnay ki zarorat nahi agr bank different hai dono k darmiyan tu phir state bank record safe kary us ki waja ya hogi k state Bank ko pata hona chaeye different bank k darmiyan transaction record ka. I hope k ap ko samaj a ya hoga
Well said
@@DesignersChoice-l8plouda banking
We need to put it in efforts to understand how fractional banking system is ripping us apart by causing constant inflation and currency devaluation.. The proposed full reserve Banking is the solution presented in the podcast.
I think ke concept mein dam he per is model ko bayan karney keliye mazboot spokesperson ko is per bat karni chahiye takey masses or technocrat tak bat easily pouch sakey.
Become an ambassdor to this noble cause!
Highly informative
Well Done Sir
so simple good solution to make Balance and justice
Banks k owners or board abi yh dekh k assassination plot kr rhy hongy 😅
😀
Am confused … the global standard for bank Liquidity ratio is 100% and this 100% is divided into risk profiles of what the bank can do with investor monies … and the bank investments are graded based the risk profile of the borrower …and the risk profile allows the bank to calculate the interest that they can charge the borrower … hence credit card risk attracts as high as 40% interest and a home mortgage attracts 8% ( since Tis backed by real estate security ) so the bank essentially has to manage their debt in such a fashion as to minimize their own risk and hende the liquidity ratio constraint given by govt to ensure banks have sufficient funds in case of a run on the bank
Less than 5% fractional reserve being practiced nowadays worldwide which is the main source of constant currency devaluation and high inflation. If banks switch to full-reserve banking then these problems will be addressed as presented in the podcast.
make a explain video of this on raftar
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
Bank sey Nikalo aur Karachi DHA Phase 8 mein lagao...(PHIR NAA KEHNA BATAYAA NAHIN)
What happens if I want to withdraw the money? How can state bank guarantee when the money is lended with borrower ..
Exactly my question, if i give my money to bank and bank gives that money to you (as loan), but at the same time if I want my money back, banks cannot give me because it's now yours
In a full reserve banking system, deposit money will be risk-free due to the 100% reserves held at the SBP (State Bank of Pakistan) against it. There will be no interest or profit earned on deposits, but their value will be fully protected due to the absence of money expansion. For investment purposes, funds will be surrendered to banks or investment trusts, which will then invest or transfer the money to businesses. The investment will be made for a specific period say 6 months, and thereafter it may be redeemed to the investors
@@QanitKhalilullah Sir what will be the source of the 100% deposit-equivalent amount maintained with SBP? Will it be from the equity of private bank's shareholders?
Masla tab boga jab aap bank jeyengay awr apna deposit withdraw karain gay. Bank walay kahay gai aap ka paisa aik saal ki loan par dosray shaks ko dia hai. Sound like investment in sukuk jaha aap ko monthly ya yearly profit milta hai magar withdraw aap maturity par he karay ga.
Thanks for the breakdown! I have a quick question: I have a SafePal wallet with USDT, and I have the seed phrase. (alarm fetch churn bridge exercise tape speak race clerk couch crater letter). How should I go about transferring them to Binance?
Binance and USDT are speculative global assets where big actors with deep pockets play the game of pump-and-dump at the cost of small investors.
Is is mentioned in Quran about Gold and silver coins. Paper currency is fraudulent.
Gold currency is neither practical in the present circumstances nor desirable in view of the broad Islamic teachings that advocate for ease, simplicity, and following what is commonly recognized as beneficial (ma'ruf) while removing its bad aspects. Just as Islam does not require us to travel on camels or fight with swords as was done by the Prophet (PBUH), it does not mandate the use of gold as currency.
Although the gold standard was used until the 1930s internally in the USA and other Western countries, gold as currency has not been used for many centuries, and we cannot turn back the pages of history. The current quantity of gold is highly insufficient to support the present level of economic transactions. For example, in Pakistan, the broad money quantity is approximately 35 trillion rupees, while the total quantity of gold, mostly in the form of women's jewelry, would not exceed 3 trillion rupees at current prices. It is impractical to expect to collect this precious jewelry from our women just to store it in vaults as reserves. Even if we could gather all the gold, it would amount to no more than 5-10% of the total money supply. A fractional reserve system based on such a small amount of gold would create significant instability, similar to the issues faced in the West with the gold standard fractional reserve system before the 1930s.
Currently, over 90% of transactions are conducted electronically, where money functions as a unit of account by keeping records. This provides tremendous transactional benefits of ease and speed, along with financial instability due to the fractional reserve system. This instability could be eliminated with the implementation of a full reserve system.
Under the fractional reserve system, over 97% of new money is being created in the world by commercial banks when they issue loans for profit motives. In a full reserve system, private banks would not be able to create money for profit, and the money supply would remain constant. Not a single rupee would be added to the system without the permission of a central monetary authority, which would control the money supply through a 100% reserve system. This system is more airtight compared to a gold currency, where inflation could occur due to new gold discoveries, as witnessed in the 18th and 19th centuries. Many renowned economists, such as Milton Friedman and Irving Fisher, were in favor of full reserve banking.
Money is a public good and its creation should not be given to private bankers but should be managed by the state. To ensure price stability and avoid demand-side inflation or deflation, new money would be created by the monetary authority without debt, with public announcements up to the GDP growth level. This money would be spent to meet the basic needs of poor people and fund infrastructure projects, which is another source of income for the government, improving both the demand and supply sides of the economy.
Using other commodities as currency would only add huge complexity and hardship to the system without any benefit or workable solution. If we want to use just a reference point, why wouldn't we use the total GDP of an economy, as a full reserve system would do, when creating new money to ensure price stability across an economy?
0:13 this Chawal BABA is not aware that now deposit security is increased to 10 Laks not 5
😀
Kafi zyada Jahil ho. How does this change the fact that 100% of depositor money is not secure???
Conventional money me kaunsa awami faida dekha jarha hai 🤣🤣🤣
Very difficult to understand but this situation is very dangerous
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
Mjy lagta hai.. Mai bhi apka mahmam ban skata hoo.. Podcast ka...
Jab asy asy log bhi ary hai
😂😂
find a stranger to slap you across your face so you can comeback to your senses
Just let him talk he was making perfect sense, instead of interrupting without understanding anything, rather do some research before the recording. Usually, your questions are good, but disappointed this time and spoiled it.
Some cringe examples:
- Crypto
- GDP was less than 1%
Excellent 👍
Pakistani economy crises big reasons r power Generation at imported fuel, prievate vehicals at imported parts and fuel. Investement in non productive secter realstate
If bank is to maintain 100% then how it will get the money to do the business?
Full reserve Banking system will generate revenue stream from the following two main functions:
1. Amanah based safe house where some fees is charged for the customer services but 100% reserve is maintained with no credit creation.
2. Investment branch where customers deposit are invested on profit sharing basis in some real world projects after seeking their approval. Bank will also be sharing the profit on risk sharing basis.
islamic banking 😂😂😂 acha mazak hy
or samjhne k lye bhi to aqal honi chaye :D
@@Talhasyed89 hain sahi hy 100 saal banking haram haram and ab islamic banking lay ay.
Need more explanation. Good discussion but don't explain sood properly. Sood is a term which has ralitive meaning which have to define with time in favor of public.it is not constant.just like lot of reality now science discovered , which are not known to man. It's not against Islam, it's true Islam
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
Brother i think you need to study more on Sood.
فارم 47 والی نقلی گورنمنٹ کیا کام کرے گی😅
Yar us bandy ko lao Jo imran khan protest ky bary full explain kary
the guest appears HIGH on something
He merges religious practices with modern banking, which creates confusion and leaves him unable to provide coherent explanations. Instead of offering clarity, he often resorts to repetition or forced arguments, trying to impose his vague ideas on the audience. This is evident in the overwhelming reactions from viewers reflected in the comments. As a Chartered Accountant with 15 years of international experience in capital markets and banking, I struggle to draw any meaningful conclusions from his explanations. Clearly, he was not adequately prepared for this interview.
1. The concept of 'ma'ruf' holds significant importance in our din. Prevalent good things, customss, traditions and thoughts should be adopted
2. Please refer to my detialed answers to FAQs given in the comment section of their podcast
3. I am focused only on reforming the current banking system, which is the major cause of the current economic and social problems including huge govt debt, Interest and inflation. However, I am aware that vested personal and political interests will oppose and attempt to confuse and misrepresent our proposal.
The most prominent monetary economist Milton Friedman provided a clear explanation for the failure to implement a Full Reserve Banking system:
"The vested political interests opposing it are too strong, and the citizens who would benefit-both as taxpayers and as participants in economic activity-are too unaware of its benefits and too disorganized to have any influence.”
Pleasd see my recent presentation at ICAP and detailed article in 'the News' on full reserve banking.
Sara nizaam sood pr chal rha
Logo ne factories close kr k paise banks me rakh dye hain.
Iss se tu acha hota main Tom & Jerry dekh leta pora program dekh lia lakin kuch sajh me nahi aya 😅
Hahahaha 😀😀😀
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
The person didn't know anything about crypto properly yet constantly saying is se illegal kam ho raha ye unaware of that every transaction is traceable and can track any illegal activity in Blockchain, first I thought I will learn something after hearing his views I realized I wasted my previous time listening this podcast
Crypto is not the main topic of the podcast. Please see the answers on crypto and gold currency in response to the respective questions below
یہ حضرت جو طریقہ بتا رہے ہیں اس میں اور کنوینشنل بینکنگ میں فرق کیا ہے؟
بات تو وہی ہے بہت سارے بینک ہوا میں اے ویلیو جنریٹ کریں یا ایک سینٹرل بینک کرے طریقہ کار تو وہی رہا 😅😅😅
جب اسٹیٹ بینک نے بھی آئیڈینٹیکل منی رکھنی ہے تو دوسرے بینک اور جو ابھی فعل ہیں ان میں اور اسٹیٹ بینک کے رکھنے میں فرق کیا ہوا 😅😅؟
اگر بینک کا مطلب ہی sovereign authority over transaction ہے تو وہ sovereignty چاہے ایک سینٹر بینک کے پاس ہو یا مختلف بینکوں کے پاس تقسیم ہو انکے ریونیو کیا بنیاد پر بات تو ایک ہی ہے 😂😂😂
چاچا فضول میں کنویزیا رہے ہیں 😅😅
پیسا اور ویلیو ہمیشہ سے کریٹڈ ہی رہی ہے inherently دیکھا جاۓ کسی چیزیں کی قدر انسان ہی تخلیق کررہے ہے چاہے پیپر منی ہو کی بھی ایسٹ کی صورت ہو
فضول سقراتی جھڑنے کا فائدے نہیں ہے 😅
شاید اپ کو سمجھنے میں تھوڑا سا مسٹیک لگی ہے ان کی بات کو تھوڑا غور سے سمجھا جائے تو ان کے کہنے کا مطلب یہ ہے کہ ایک بندہ اگر ایک بینک میں 10 لاکھ روپے ڈیپوزٹ کرواتا ہے تو بینک اس چیز کا اگے قرضہ دے دیتا ہے بینک کے پاس اس کا کوئی ایسٹ نہ رہا اور کسٹمر کے اکاؤنٹ میں بھی وہی ایک لاکھ روپیہ شو ہو رہا ہوتا ہے بینک رننگ اس چیز پہ ہی کرتے ہیں نا کہ بینک ہمارے پیسوں کو اگے انویسٹ کر دیتے ہیں کسی کمپنی میں دے دیتے ہیں جب میں نے 100 روپیہ ڈیپوزٹ کیا بینک نے اس پرافٹ کمانے کے لیے کیونکہ بینک تو اگے اپ کے پیسے کسی کو دے گا تو اس سے وہ پرافٹ کمائے گا نا تو اس سے ہی بینک کے امپلومنٹ کی سیلریاں اور جو بینک کا نظام ہے وہ چلے گا اگر میں نے 100 روپے دیا اور بینک نے اپنے پاس ہی رکھ کے سو مجھے پھر واپس کر دیا تو بینک کو کیا فائدہ ہوگا اب ہمارے پاکستان میں یا پوری دنیا میں تقریبا یہی نظام ہے کہ فائ پرسنٹ سٹیٹ بینک کا رول ہے نا کہ اگر میں نے اپ کو 100 روپے مثال کے طور پہ ابھی دیا ہے اور پانچ روپے بینک نے اپنے پاس رکھنے ہیں اور بینک کو یہ اختیار ہے کہ وہ 95 روپے جو ہے وہ کسی اور کو دے دے گا اور اگر میں 100 روپیہ اگلے دن ہی اپ نکالنے جاتا ہوں تو وہ 100 روپے مجھے واپس بھی مل جائے گا مثال کے طور پر میں نے بینک کو 100 روپیہ دیا بینک نے پرافٹ کمانے کے لیے یا منافع کمانے کے لیے وہ 100 روپے میں سے 95 روپے اپ کو دے دیے قرضے کی صورت میں منافع کمانے کے لیے تو میں اگلے دن ہی وہ 100 روپے نکالنے جاتا ہوں تو وہ مجھے 100 روپے واپس بھی مل جاتا ہے میں وہی 100 روپے لے کے میزان بینک سے الحبیب بینک میں ڈیپوزٹ کرتا ہوں وہاں بھی یہی سائیکل چلتا ہے وہ پانچ روپے اپنے پاس رکھے گا اور 95 روپے پھر اپ کو دے دے گا میں پھر اگلے دن وہاں سے 100 روپے نکال لیتا ہوں اس طرح یہ جو ہے نا ان کے سمجھانے کا مقصد یہی ہے کہ اس سے ایکسٹرا منی کریٹ ہوتی ہے 100 روپیہ تو جو میں نے بینک کو دیا تھا وہ میرے پاس واپس اگیا اور اپ کے پاس بھی 95 روپے چلے گئے
This guest does not have proper knowledge or he is unable to explain in easy words. He is talking too fast without considering the level of the viewers. The host of this programme should intervene and make this guest to be “less hyper”. This guest is hyper and excited. I do not understand the reason for such a behaviour
سینٹرل بینك GDP گروتھ كے مطابق ہی صرف منی سپلای بڑھاےگا، جب كہ باقی بینكس منافع كمانے كے چكر میں زیادہ سے زیادہ قرض دیتے ہیں
This guest is too hyper and too excited. He is trying to explain the complexities of the financial system and the banking system in a hurry. There is no reason why he should be rushing. It looks like the guest himself is not very clear about what he is trying to explain. Faisal Waheed is sitting with a blank face which means he is unable to comprehend the lecture of this “financial guru”. ❌
کچھ پلے نہیں پڑا۔۔۔
سو پرسنٹ مارجن پر بنک قرضے کیسے دیں گئے۔
On the basis of real money transfer from investors to the businesses (like a mutual fund)
I believe the guest is having difficulty articulating his thoughts and explaining his concepts clearly. I recommend conducting a trial interview before uploading this one, as it seems to be creating confusion and a lack of clarity. It appears that the guest recently encountered some banking information but did not adequately prepare or understand the anticipated questions. As a result, he has attempted to explain a newly learned concept without full comprehension, which has led to a total failure in communication. The interview does not provide any valuable insight; instead, it exacerbates the confusion among viewers, as reflected in the comments. It is essential for anyone appearing on a show to prepare thoroughly, as a lack of preparation can negatively impact the reputation of the guest, the host, and the channel or platform.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
@@teknikaisb2699 I encourage you to consider the feedback from other viewers, as my observations reflect their sentiments as well. It’s clear that the presenter focused more on showcasing his newly acquired knowledge than on adequately preparing for questions. As a result, many viewers found his explanation challenging to grasp. It's important to recognize that everyone has the right to express their opinions, and I urge you to engage with the video honestly instead of defending the guest as if you were their representative.
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
@@saadkhalil5490 He mixed religious practices with modern banking, which has left him going in circles and unable to provide clear explanations. Instead, he tends to repeat himself or offer forced justifications, as if trying to impose his unclear thoughts on the audience. The responses from the majority of viewers are evident in the comments. As a Chartered Accountant with 15 years of experience in capital markets and banking abroad, I find myself unable to draw any conclusions from his explanations. In short, he was not prepared for this interview.
Identical money, feat money, paper money, etc. etc. Sub bekar ki baaten hen "ye saray milkr hmy bna rhy hen"...
Had h simple chiz log nahi smhjty jb raftar k yh podcast person nahi smhj Pye bat to awam to MA h
Kia bakwas kar rha he ye banda for crypto
ye saray centralized banking k supporters hein bhai itni itni age hogai hai per apnay apko field ki advancement se upgrade nhi in babon ne pakistan bhatta baithaya hai
Ye Kis ko le ker aagay-? In Sahab ko na kuch maaloom hai aur na hi ye Sahab explain ker paa rah hain. Very disappointing guest. Raftar channel should try to have State Bank Governor as a guest. Or the Chief Executive Officer/President of any commercial banks. Mr Sirajuddin Aziz is currently the Banking Mohtasib/Ombudsman for Pakistan. He is a seasoned bank executive. You may try to have him as your guest. His Office is located on the 5th floor-Shaheen Complex Karachi. I am not sure if he will or will not agree to be on a television channel
Bhi smj ni aye 😂😂
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
Multiplier effect to isme bhe hai mera chota bhai...kya krti hai tm??? Khocha
I don't think the guest for well educated on the topic himself. He should first read and understand how the financial system came into shape over centuries. I'm also against interest, hence conventional banking, but the points he raised were not even realistic.
brother these concepts are also discussed in the writing of Irving Fisher, Milton Friedman and Simons. They all advocated in favour of Full Reserve Banking, moreover ORO & Zenus are two full reserve banks. Positive money of UK is also advocating for this, nothing out of thin air!
Total confusion 😢
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
BIG LOL
This guest is very hopeless. Total disappointment. In fact this guest has spoiled the reputation of Raftar Channel. This guest is unable to explain anything. This guest is a waste of time
Nahi samajh me aaya
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
I think Pakistaan will soon have a run on banks once it has defaulted in loan repayment of earlier loans which have mounted to about 140 billion USD.
not impressed. Concepts lacks deep roots, it will be blown out of water, once put to examination and critique!
Many economists are in favour of this concept, this is not new... and no serious critique that have stayed against it
@@muhammadahsan1893 dont create nuance. Banking systems' flaws are one thing, sheer incompetence and collusion is quite the other. Any system has demerits, no system is absolute, our problem is that we cannot judge right 'the right way'!. Further, regarding researches, whhich are often hidden under assumptions, for instance, like auto-regression and time variance, It is very hard to make out 'what is the research of research'!
@@muhammadahsan1893 lastly, dont just say 'many economists', share something tangible and credible like detailed interview or very focused research or application in the field!. In short, dont fool us!
@@muhammadahsan1893 the taller the claim (the fatter the fails), the harder it is evidence to find!
Study Bitcoin
Bitcoin can undergo a hard fork to increase its supply, as was the case in 2018 with the split between Bitcoin and Bitcoin Cash. Most prominent cryptocurrencies, such as Ethereum (the second most popular cryptocurrency), have a theoretically unlimited supply. This makes cryptocurrencies inherently speculative in nature, and they do not fully meet the basic functions of money-such as being a stable store of value, medium of exchange, or unit of account. While other decentralized finance (DeFi) innovations, like tokenization and blockchain, have promising potential to enhance efficiency, their practical applicability in the modern financial system is limited. This is particularly true in the context of risk-averse regulators who are cautious about embracing these technologies.
Money is a public good, and its creation should not be left to the private sector driven by individual profit motives. Instead, it should be used for the benefit of the public at large, in alignment with the views of both social and liberal economic theorists. This is best achieved under a full-reserve banking system.
Inki koi baat samjh hi nahi arehi
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
Kanat sb study Bitcoin, you have no knowledge about it
Bitcoin can undergo a hard fork to increase its supply, as was the case in 2018 with the split between Bitcoin and Bitcoin Cash. Most prominent cryptocurrencies, such as Ethereum (the second most popular cryptocurrency), have a theoretically unlimited supply. This makes cryptocurrencies inherently speculative in nature, and they do not fully meet the basic functions of money-such as being a stable store of value, medium of exchange, or unit of account. While other decentralized finance (DeFi) innovations, like tokenization and blockchain, have potential to enhance efficiency, their practical applicability in the modern financial system is limited.
@qanitkhalil3193 good, but u have little knowledge, supply can never be increased... give me your number, I can explain you in detail
Money is a public good, and its creation should not be left to the private sector driven by individual profit motives. Instead, it should be used for the benefit of the public at large, in alignment with the views of both social and liberal economic theorists. This is best achieved under a full-reserve banking system.
This guy has no professional circle, or else he would know better.
He is CA, had been head of Audit at Unilever and has other professional posts in PTCL and Ufone.
@muhammadahsan1893 There are plenty of army generals talking of posting the pakistani flag in Delhi!! It's delusional. He is also living in it. He has right to imagine anything he wants but whether it will work or not is for debate among among finance experts from around the world. Unfortunately, Raftar lacks any finance pundits to debate sense into him, and so he goes on delusional rants for whole episode.
😂😂😂😂😂😂😂😂 anpadhta ki hadd hai bahi . Tumhara kucch nahi ho sakta
Please discuss it with Shabbar bahi... May be he will help us to understand
The speaker has answered some FAQs in the comment section, please refer to them for your understanding of the proposed system.
In the next video programme Faisal Waheed should apologize for inviting a guest who does not know about the banking system and the financial system.
Instead of passing some general remarks, one should rather focus on the fundamentals of the full-reserve banking system along with its pros and cons. That would generate a healthy discussion and help everyone to get to the core of the exploitative practices of fractional reserve Banking.
Ye log kaha milte h ….tabhi pak ka ye haal h😂
9:35 why cant Pakistan implement Islamic Banking? bewaqoof
Because it only works if country has capital inflows. Pakistan isn't Qatar or UAE to have incur that sort of interest free loan 😊
@@s9ka972 louda banking will fail Pakistan
Islamic Banking is worse than normal banking
😂😂😂😂😂