Eliminating Riba(Interest) Economic System increases EntrepreneurshipRiba is hazardous for the economy and a country should try to be abstained from Riba in all manners. Riba in the society reduces the desirous of hard working in young people. Riba factor in organizations is considered to be one of the most controversial topic in Pakistan. The basic reasons for Riba controversies are due to the Government policies.

In Pakistan Riba factor can be eliminated by taking some steps. Firstly, give pensions to every person above the age of 60, whether he is government employee or not. Secondly, take strict actions to eliminate the element of Riba in bank. Pensions to every person will minimize the risk of old peoples regarding their needs. The income they have earned in their sixty year service will be deposited in banks. Government can utilize these funds in making investment in different sectors and from a profit; small portion is given to old people in the form of pension. But these pensions should be enough to support the need s of old people.

When the people are not getting any return by depositing their money in the market. Then they will invest it in the

business, which will provide a lot of jobs to the peoples. This elimination of Riba will indirectly affect the economic development. Islam is a complete code of life which offers its own social, political and economic systems to guide human behavior in all spheres of life. So it will results in making Pakistan a land of entrepreneur.