9/11 and Islamic Banks

Islamic banks are a product of modern day finance designed to cater to the sensitivities of Muslims. Like conventional banks, their goal is profit maximization. They achieve it while creatively complying with Shariah. The growth profile of Islamic banks has caught the attention of many established conventional banks and is an inspiration for businesses trying to reach a niche market. However, the reputation of Islamic banks received a dip in the wake of 9/11 when a few notable Islamic financial institutions came under scrutiny for linkages to terrorists. This paper will explore the salient features of Islamic banking and dispel their linkage with terrorism by: 1) sharing the results of the 9/11 Commission investigation; and 2) outlining how similar Islamic banks are to conventional banks.