SBP chief reaffirms Islamic banking push

SBP chief reaffirms Islamic banking push

State Bank of Pakistan (SBP) Governor Jameel Ahmad has reaffirmed the central bank’s commitment to implementing a fully Shariah-compliant financial system, saying the SBP continues to work closely with the government to achieve the country’s Islamic banking goals.

Addressing a ceremony via video link, Ahmad said the central bank has introduced several measures to facilitate freelancers, helping them receive payments more easily through formal banking channels. He noted that these initiatives have contributed to an increase in workers’ remittances and strengthened the flow of foreign exchange into Pakistan.

The SBP governor said the central bank has established a dedicated steering committee to oversee the transition toward Islamic banking. He added that the SBP is revising its regulatory and operational framework to ensure it fully complies with Shariah principles while supporting the financial sector’s gradual transformation.

Ahmad recalled that Pakistan’s founder, Quaid-e-Azam Muhammad Ali Jinnah, had expressed the vision of an Islamic financial system during the inauguration of the State Bank in 1948. He said the government has adopted a roadmap to implement a complete Islamic banking system by December 2027, and the SBP remains committed to meeting that target in collaboration with relevant stakeholders.

He also revealed that work is underway to develop a comprehensive asset register for government-owned assets, describing it as an important step in supporting Islamic finance initiatives. Stressing the importance of skilled professionals, Ahmad said expanding the capacity of the banking workforce will play a key role in ensuring the successful implementation of the Islamic banking system across the country.