ISLAMABAD: Prominent Pakistani economist Dr. Muhammad Umer Chapra, a leading figure in Islamic finance who played a pivotal role in developing the Saudi banking system, passed away this week, his family announced on Sunday.
Born in 1933, Dr. Chapra was among the earliest Pakistani expatriates to relocate to Saudi Arabia in 1965. He is recognized for his instrumental role in shaping the Saudi Central Bank (SAMA) during its formative years.
“My father passed away yesterday [Saturday] around Asr,” shared Dr. Chapra’s son, Anas Chapra, with Arab News.
A family statement confirmed that funeral prayers will be held on Sunday at Masjid Al-Haram in Makkah following Fajr prayers. Dr. Chapra will be laid to rest at the Al Ma’la Cemetery in the city.
Dr. Chapra served as an adviser at the Islamic Research and Training Institute of the Islamic Development Bank in Jeddah. In 1990, he was awarded the prestigious King Faisal International Prize for Islamic Studies.
He obtained his undergraduate and master’s degrees from Karachi University in 1956, followed by a Ph.D. from the University of Minnesota in 1961. Dr. Chapra also worked as a research assistant at Minnesota and held academic positions as associate professor of economics at the University of Wisconsin and the University of Kentucky.
Reflecting on his time in Saudi Arabia during King Faisal’s reign, Dr. Chapra remarked in a 2019 interview with Arab News: “He was very good. I interacted with him during the development of Saudi Arabia’s monetary policy and economic strategies.”
“He was prepared to listen to advice,” he added, praising the former Finance Minister Sheikh Mohammed Abalkhail. “King Faisal himself was equally receptive to counsel and acted upon it.”
In recognition of his contributions, Saudi Arabia granted Dr. Chapra citizenship.
According to the King Faisal Prize official website, Dr. Chapra made groundbreaking contributions to Islamic economics and finance over several decades.
He authored approximately 15 books and monographs, along with over 90 articles and reviews.
The KFP highlighted his seminal work, Towards a Just Monetary System, calling it his most influential contribution.
“Reviewing his book in the Bulletin of the British Society for Middle Eastern Studies, Professor Wilson of the University of Durham described it as ‘the most lucid presentation yet of the monetary theory of Islam,’” noted the KFP.
“His works have been translated into multiple languages and are widely studied in universities globally,” the organization added.