Islamic Banking Assets Witness Record Growth in CY21
The assets of Islamic banking have crossed the mark of Rs. 5 trillion by the end of 2021. In 2021 alone, the industry assets value registered the highest ever growth of Rs. 1.3 trillion.
The market share of Islamic banking assets in the overall banking industry jumped to 18.6 percent, with a gradual increase in penetration in the banking market in the past two decades from zero to double-digit.
According to the State Bank of Pakistan (SBP), the assets of Islamic banks surged by over Rs. 5.577 trillion by the end of December 2021. The increase in assets of IBI was driven by both financing to the private and public sectors and investments in Shariah-compliant securities.
The market share of Islamic banking assets in the overall banking industry jumped to 18.6 percent, with a gradual increase in penetration in the banking market in the past two decades from zero to double-digit.
Islamic banking was re-launched in Pakistan in 2000. The industry achieved Rs. 1 trillion in assets for the first time in March 2014, with their share in the overall banking industry clocking in at 9.4 percent.
The industry attained the benchmark of Rs. 4 trillion in assets values merely in one year, which is a record for the industry itself. It maintained a share of 17 percent in the overall assets of the banking industry.
