Central Bank Employment

By Mufti Taqi Usmani

Q.) I work in a Central Bank who have a mandate by the law of the land to carry our certain tasks. These include

1) To maintain the integrity and value of currency
2) To maintain the stability of the financial system
3) Seeking to ensure the effectiveness of the UK's financial services

The above functions are carried out by analyzing interest rates and setting them, monitoring inflation, monitoring risks to financial markets, supervising banks etc... To carry out the above function the bank employs around 2800 employees. Most of the employees are involved in carrying out the above tasks.

The funding of the bank comes from two sources:

(1) Payments received from the government (tax payers money)
(2) Other financial activities which include holding of accounts for other countries, currency trading , gold trading, lending money (usually as a lender of last resort) and issuing securities.

Are you allowed to work for a Central Bank?

A.) If the employee is not directly involved in carrying out, writing or being a witness to the interest-based transactions, the employment in the Central Bank may be permissible.