What factors have prevented usury-free banking law to be effectively enforced?
It has been shown in practice that usury-free banking law is inefficient and ridden with flaws. One of those flaws is that many contracts are outwardly exchange contracts. Determination of interest rate by the government has intensified the problem. This is why we are distancing from this law. Another problem is that our banking system has turned into an investment-partnership system. That is, we have tried to superimpose on a phenomenon which is not compatible with it. If we want to establish a new banking system conforming to conventional banks through the existing laws in order to facilitate interactions with the outside world, a good way is to base operations of our commercial banks on exchange contacts.
