SBP issues rules for DFIs to undertake Shariah-compliant business

In order to enlarge the scope of Shariah-compliant financial services in the country, the State Bank of Pakistan (SBP) has issued guidelines for Development Finance Institutions (DFIs) to undertake Shariah-compliant businesses and operations.

Meanwhile, keeping in view changes in the licencing and regulatory regime for banks, SBP has also updated the guidelines for establishment of Islamic banking institutions.

The updated guidelines deal with the establishment of a full-fledged Islamic bank, Islamic banking subsidiary and Islamic banking branches of conventional banks.

These guidelines will facilitate the new entrants in the field of Islamic banking.

Source: Radio Pakistan