In order to increase the share of Islamic banking from 20 to 35 percent over the course of the next two years, the State Bank of Pakistan’s (SBP) deputy governor Sima Kamil stated that the banking regulator will assist banks with plans to convert their operations into Shariah-compliant modes.
Speaking at a seminar on Islamic banking and economic development held by a local bank, she stated that the central bank seeks to increase Islamic banking’s share of the broader banking industry from its current 20 percent to up to 35 percent over the next two years.
She continued by saying that the State Bank would offer this capability to any bank that wished to Islamize its 100, 200, or 300 branches.
According to her, interest in Islamic banking is rising and it is enhancing peoples’ quality of lives. The transition from conventional banking to Islamic banking is difficult, nevertheless. In this regard, the State Bank of Pakistan is completely cooperating, and we will present revised work to enhance this shift, she continued.
The State Bank has formed two sectors in its Islamic banking structure, one of which is Islamic finance and the other is Islamic development, the deputy governor stated.
The SBP deputy governor acknowledged that turning Islamic banking data into a practical plan was a difficult challenge, but that is is now achievable thanks to technology. Using this information, convenience is provided based on the requirements .