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KARACHI: Raqami Islamic Digital Bank (RIDB), after obtaining NOC from the State Bank of Pakistan, has set up high-powered Shariah Board, led by Dr. Mufti Muhammad Imran Ashraf Usmani as Chairman and Mufti Hassan Kaleem as Deputy Chairman.

RIDB has recently obtained a no NOC and in-Principal Approval (IPA) from the State Bank to establish an Islamic digital retail bank in Pakistan under the Licensing and Regulatory Framework for Digital Banks (the Framework).

In keeping with its vision to provide Shariah-compliant financial services, the bank has succeeded in putting together a high-powered Shariah Board. Other members on RIDB’s five-member Shariah Board include Muhammad Ashja Khan, Resident Shariah Board Member; Mufti Azfer Iqbal, Board Member; and Mufti Muhammad Muaz Ashraf, Board Member.

Highlighting the need for Islamic and digital financial services in Pakistan, Dr. Imran Usmani said that Raqami bank will play a very important role in promoting Islamic banking and economic system for sustainable and inclusive development. The Shariah Board will provide guidance and supervision to ensure banking operations and transactions are Shari’ah compliant at all times, he added.

Nadeem Hussain, Coach Raqami Islamic Digital Bank has said that as building operational readiness as a fully Shariah-compliant digital bank, we will remain committed to learning from the best.

Raqami Islamic Digital Bank Chairman Abdullah Al-Mutairi has said the global Islamic Financial Services Industry (IFSI) demonstrates a notable acceleration in its yearly growth trajectory, as indicated by the Islamic Finance Services Board’s annual stability report, which estimates the global IFSI’s value at USD 3.25 trillion in 2022, compared to USD 3.06 trillion in the preceding year.

Within this dynamic landscape, Pakistan emerges as a paramount market for Islamic finance products, given its substantial estimated population of 240 million. The country boasts a robust Islamic banking industry with assets soaring to an impressive figure exceeding Rs 8 trillion as of June 2023, constituting nearly 20 percent of the local market share.

As Raqami gears up to establish a digital retail bank, it is committed to building a customer-centric approach providing tailored Islamic financial services to a diverse customer base, with focus on five segments including SMEs, agri sector, freelancers and blue-collar workers, women and youth.

Copyright Business Recorder, 2024

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