Tag Archives: Islamic Banking

Commercial banks around the globe have designed and utilized Islamic financial instruments according to the rules of Shariah. Section 5(b) of Banking Companies Ordinance-1962 defines the business of banking as “banking means the accepting, for the purpose of lending or investment, of deposits of money from the public, repayable on demand or otherwise and withdrawable by cheque, draft, order or otherwise.” By analyzing both sides of the balance sheet of …

In Pakistan, Islamic banking has registered substantial growth over the last few years. Along with increase in number of branches, windows and diversity of Islamic banking products and services, the size of Islamic banking balance sheet has improved significantly. The growth continued during FY20, as the assets and deposits of the Islamic banking grew by 21.4 percent and 22 percent, respectively. Due to substantial growth, Islamic banking has become systemically …