Veon’s Mobilink Bank launches Shariah-compliant banking in Pakistan

Details: John Tanner; Category: Mobile Finance; 22 December 2025; 8088 views

Global digital operator Veon announced on Friday that its financial services subsidiary, Mobilink Microfinance Bank has launched Islamic banking operations in Pakistan, in response to growing customer demand for Shariah-compliant financial services.

Mobilink Bank – which received its Islamic Banking licence from the State Bank of Pakistan earlier this year – inaugurated its first dedicated Islamic banking branch last week in Karachi, offering Shariah-compliant deposit and financing products, with a second branch scheduled to commence operations in Peshawar before the end of this month.

Mobilink Bank plans to follow up with a phased rollout of Islamic banking services across additional locations nationwide next year.

According to the State Bank of Pakistan’s Islamic Banking Bulletin for the period ending September 2025, Islamic banking assets reached approximately PKR12.7 trillion (around US$44 billion), accounting for 21.6% of total banking sector assets. Islamic banking deposits represented 26.5% of total deposits nationwide.

On a year-on-year basis, Islamic banking assets and deposits grew by 28.3% and 29.7%, respectively, underscoring the sector’s strong momentum and rising customer adoption.

Haaris Mahmood Chaudhary, president and CEO of Mobilink Bank, said the launch of Islamic banking services supports its strategy to broaden financial choice and inclusion for individuals, micro-entrepreneurs, and small businesses across Pakistan.

“Expanding into Islamic banking allows us to directly respond to the needs of a large segment of Pakistan’s population,” he said in a statement. “By offering transparent, faith-aligned products through both physical branches and digital channels, we are increasing access to formal financial services across the country.”