Muhammad Kamran Shahzad

SBP urges Islamic banks to diversify investment portfolios

The State Bank of Pakistan (SBP) has accentuated upon the Islamic banks to mix their investment portfolios by enhancing financing to Small and Medium Enterprises (SMEs), agriculture, housing finance and microfinance sectors of the economy.
The deputy governor stated with concern that the overall financing by Islamic banking industry in agriculture is still below three percent. Muhammad Kamran Shahzad added that in order to encourage the industry and to venture into participatory modes of financing, the central bank has formed a task force having representation of Islamic banks, business community, academia and accounting professionals to develop an incentive framework for promotion of such products.

Syndicate content