Under the financial reform draft, private finance institutions are due to become traditional banks and banks will be allowed to open profit accounts
As finance institutions which run interest - free banking systems get ready to traditional banking system, traditional banks are preparing for Islamic banking methods.
The fifth article in the government's financial reform draft - which calls for removal of discrimination between private finance institutions and banks - was approved by the representatives of both private finance institutions and the traditional bankers. If the article is passed unchanged any banks will be allowed to form "interest - free pay - offices" and attract the investments of believers to the Islamic system of "partnership of profit."
Reportedly, after a meeting with the representatives of the interest - free private institutions, State Minister Gunes Taner promised to take the necessary steps to allow these institutions to have the same privileges with traditional banks under the planned legislation on financial reforms.
Traditional bankers are preparing for interest - free banking system. Is Bankasi, Vakifbank, Pamukbank, Yapi ve Kredi Bankasi and Toprakbank were reported to be eager to adopt the system. If the draft is passed, the cited banks will allocate their several branches for this service or will run special service in all their branches.