SBP reports highest growth in Islamic banking assets, deposits since 2015
Last updated on: 24 March,2021 02:22 pm
The assets of the Islamic banking industry increased to Rs4269 billion.
KARACHI (Web Desk) - The overall assets and deposits of the Islamic banking industry have shown growth of 30 percent and 27.8 percent, respectively, during CY2020. This is the highest increase in assets in a year since 2012 and in deposits since 2015, State Bank said on Wednesday.
State Bank of Pakistan (SBP) has reported this today in its quarterly report – Islamic Banking Bulletin for the quarter ending December 31, 2020.
The central bank has said that over the last five years, both assets and deposits of the Islamic Banking Industry have more than doubled. This growth in assets and deposits of the Islamic banking industry is encouraging, particularly due to the fact that the industry was also faced with the Covid19 pandemic challenges during 2020.
The assets of the Islamic banking industry increased to Rs4269 billion, whereas deposits reached Rs3389 billion by the end of December 2020 that are 17.0 percent in assets and 18.3 percent in deposits of the overall banking industry.
Financing of the Islamic banking industry has also grown by 16 percent during CY20. Further, the non-performing finances (NPFs) to financing (gross) ratio has declined from 4.3 percent, as of the end of December 2019, to 3.2 percent as of the end of December 2020.