Islamic banking: Mashreq allowed to commence operations

KARACHI: The State Bank of Pakistan (SBP) has granted, In-Principal Approval (IPA), to Mashreq Pakistan to commence digital Islamic banking operations within the country.

Mashreq is actively progressing towards acquiring a license from the State Bank of Pakistan to initiate pilot digital retail banking operations in Pakistan.

This is step is as per the Mashreq Bank’s commitment to providing ethical, innovative and robust banking system that aligns with the principles of Shariah, thereby contributing to the nation’s financial landscape and becoming a catalyst for its future growth.

To mark this momentous occasion, Mashreq Pakistan organized a celebratory event with its leadership team and employees. The event also celebrated Mashreq Al Islami’s recent global recognition as the World’s Best Islamic Digital Bank by the Euromoney Islamic Finance Awards 2024, for the second year in a row that has further solidified Mashreq’s position as a leader in Islamic banking innovation.

On the occasion Muhammad Humayun Sajjad CEO of Mashreq Pakistan has said receiving the IPA for Islamic banking operations is a pivotal step towards realizing our vision of offering innovative, customer-centric banking solutions that cater to the diverse needs of the Pakistani market.

“We are poised to be an Islamic-first digital bank in the country, aspiring to deliver the best Islamic Banking solutions to not just meet Pakistani’s expectations, but to exceed them,” he added.

G M Abbasi Director of Islamic Finance Policy Department at the SBP said that SBP has worked proactively over the years to promote and develop Islamic Banking in Pakistan through introduction of comprehensive legal, regulatory and Shariah compliance framework, different training & building capacity initiatives, and creating awareness drives for various stakeholders on Islamic banking & finance.

He said these efforts are part of a SBP’s strategy to foster a more inclusive financial environment in Pakistan, which will include digital banks like Mashreq’.

Mashreq continues to invest in and improve its digital offerings which has enabled the creation of near 100 percent digital customer experience - setting new benchmarks for digital Islamic Banking globally.

Mashreq Pakistan’s advanced digital platform is set to revolutionize the banking experience, offering unparalleled convenience, security, and customer service for Pakistanis. Moreover, the bank’s innovative digital solutions, such as Mashreq NEO, NEOBIZ, NEO NXT and NEOPAY, are poised to set new benchmarks in the banking industry.

NEO has been recognized by Brand Finance as the strongest digital banking brand in the UAE.

Copyright Business Recorder, 2024