KARACHI: Pakistan’s Islamic banking industry is expected to maintain its strong growth momentum, with total assets projected to reach Rs18-19 trillion by Dec 31, from Rs14.47tr in 2025, according to industry estimates shared during a media briefing held by Meezan Bank.

According to the projections shared during the briefing, Islamic banking deposits are expected to increase to Rs13.5-14.5tr by the end of CY26, compared with Rs11.04tr in CY25.

Its share of total banking assets is likely to rise to 25-27pc by the end of 2026, from 22.9pc in 2025, while its share of total banking deposits is expected to increase to 30-32pc, from 27.8pc.

The Islamic financing portfolio is also projected to grow to Rs7-7.8tr by Dec 31, up from Rs5.65tr in 2025, reflecting rising demand for Shariah-compliant financing across the consumer, SME, agriculture, corporate, and government-linked segments.

Published in Dawn, May 21st, 2026