KARACHI: Samar Hasnain, Executive Director of the State Bank of Pakistan (SBP), underscored the transformative potential of Islamic economics and finance as a comprehensive framework for ethical, sustainable, and socially responsible economic development. He was speaking at the 13th Islamic Banking & Finance Conference, organized by The Professionals Network, with the theme “From Practice to Impact: Aligning Islamic Economics & Finance with Global Challenges.”
In his keynote address, Hasnain emphasized the need to integrate financial practices with moral and social values, stating that Islamic finance offers unique solutions to address modern economic challenges, including climate risks, financial inclusion, and fostering innovation. “The key lies in strategic partnerships and strong collaborations among stakeholders to develop innovative solutions aligned with the principles of Maqasid al-Shariah, paving the way for a sustainable and equitable future,” he said.
Highlighting the conference’s significance, Hasnain reiterated that tackling these challenges requires specialized expertise and resources, urging a collective effort toward sustainability.
Experts Advocate for Strategic Role of Islamic Banking in Pakistan
The event brought together notable speakers, including Jawad Majid Khan, President & CEO of Bank Makramah; Faisal Iqbal, Head of SME & Supply Chain Financing at Meezan Bank; Ateeq Ur Rehman, Economic & Financial Analyst; and Mehmood Tareen, CEO of The Professionals Network.
Islamization of the Economy
Jawad Majid Khan called for the Islamization of Pakistan’s economy as a long-term solution to the country’s persistent challenges. “Transitioning from an informal to a formal economy, addressing imbalances in tax collection versus high expenditures, breaking the unproductive debt cycle, improving saving rates, and fostering a better investment climate are all achievable through an Islamic economic model,” he said.
SMEs and Economic Growth
Faisal Iqbal highlighted the pivotal role of small and medium enterprises (SMEs) in advancing Maqasid al-Shariah and overall economic development. “With the planned conversion of all conventional banks to Islamic banks in the next three years and regulators prioritizing SME and agricultural financing, the Islamic banking sector is well-positioned to make significant contributions. This includes launching exclusive SME business verticals, digital supply chain financing, and capacity-building initiatives,” he stated.
Islamic Banking’s Role in Trade Expansion
Ateeq Ur Rehman underscored the integral relationship between Islamic banking and Pakistan’s economic growth. “Islamic banking must play a central role in expanding trade, as its principles align with sustainable and inclusive development,” he said.
The conference served as a platform for stakeholders to explore innovative financial solutions aligned with Islamic values, reinforcing the importance of collaborative efforts to address global challenges.
