Friday saw the announcement from Faysal Bank Ltd that it had given up its conventional banking license to the State Bank of Pakistan in exchange for an Islamic banking license. From January 1, 2023, it will operate as an Islamic bank, according to the statement.
In Pakistan, there are already five Islamic banks and 17 conventional banks with Islamic banking divisions. 18.6% of all banking industry assets come from Islamic institutions, while 19.4% of all deposits are consistent with Shariah.
From the first day of the next year, Faysal Bank will become the sixth fully operational Sharia-compliant bank. Syed M1ajid Ali, the bank’s chief financial officer, says that a conversion of a conventional bank to an Islamic bank on such a large scale has never occurred.
