پاکستان میں اسلامی بینکاری: جدید دور میں ارتقاء، ترقی اور چیلنجز

Islamic Banking in Pakistan: Evolution, Contemporary Developments, and Challenges in the Modern Era

Abstract

Islamic banking in Pakistan began with the establishment of Meezan Bank in 2002. Today, the sector has become an important part of the country’s financial system. According to the latest Islamic Banking Bulletin (December 2025) of the State Bank of Pakistan (SBP), Islamic Banking Institutions (IBIs) have consistently shown strong growth and are proving to be more resilient than conventional banking.

6 Full-fledged Islamic Banks (Full-fledged IBs) + Islamic Banking Branches (IBBs) and Windows of 15 conventional banks.

lamic banking has shown a more stable performance than conventional banking despite economic challenges (such as inflation, interest rate fluctuations).

Constitutional and policy context

The 26th Constitutional Amendment mandates the abolition of interest (riba) across the country by January 1, 2028. The SBP has asked all banks for Islamic conversion plans and the target of a 30% market share was set under the 2021-25 Strategic Plan (which is currently at 22.9%, but is growing rapidly). 

In the present era (2026), Pakistan’s Islamic banking industry is expanding rapidly and has become almost a quarter of the total banking. It is not only increasing financial inclusion but also offering a model of economic stability and ethical financing. With the supervision and constitutional support of the SBP, a transition to a fully Islamic system is possible by 2028.

(Islamic Banking Bulletin Dec 2025 sbp.org.pk)