Skip to main content

New Standard Chartered report highlights opportunities to strengthen Islamic finance connectivity across Pakistan and regional growth corridors


A new Standard Chartered report highlights significant opportunities to strengthen Islamic finance connectivity across South Asia by better linking liquidity-rich markets with economies seeking long-term investment, reinforcing the growing role of cross-border Islamic finance in supporting regional trade, infrastructure and economic development.

According to Islamic Banking for Financial Institutions: The Islamic Finance Connector Era, Islamic finance assets now total approximately USD 6 trillion across nearly 100 jurisdictions. As global trade patterns evolve and investment increasingly flows through regional corridors, Islamic finance is emerging as a strategic connector of capital, trade and digital infrastructure.

The report identifies South Asia as one of the regions with significant untapped potential to attract greater Islamic capital, highlighting opportunities to strengthen cross-border connectivity between liquidity-rich markets and economies seeking long-term investment. These findings are particularly relevant for Pakistan, where expanding Islamic finance corridors with the GCC and other high-growth markets can help facilitate greater investment, support trade and unlock new opportunities for long-term economic development.

“Islamic finance is becoming a critical enabler of cross-border connectivity. As its role in facilitating trade, investment and capital flows continues to grow, financial institutions must place Islamic finance firmly on their strategic agenda,” said Khurram Hilal, CEO, Group Islamic Banking, Standard Chartered.

“As trade routes become increasingly interconnected, institutions need recognised financing structures and operational capabilities that enable Shariah-compliant capital to move seamlessly across borders.”

Rehan Shaikh, CEO & Head of Coverage Standard Chartered Pakistan, said:

"Trade and investment flows between the GCC, South Asia and other growth markets continue to evolve, creating new opportunities for Islamic finance to play a greater role in connecting capital with commerce. For Pakistan, strengthening these financial corridors can support businesses looking to expand regionally, attract investment and access a wider pool of Shariah-compliant financing solutions."

The report finds that while Islamic finance liquidity continues to deepen, capital deployment remains uneven. Today, only 6 per cent of global Sukuk capital reaches South Asia and Africa, highlighting a significant opportunity to better connect liquidity-rich investors with markets seeking long-term development financing.

It also identifies evolving trade corridors between the GCC, South Asia and other emerging markets as creating new opportunities for Islamic trade finance, cross-border investment and capital mobilisation. Beyond public markets, the report highlights the growing importance of private credit, digital infrastructure and tokenisation in expanding access to Islamic capital and strengthening regional financial connectivity.

“The challenge for many markets today is not a shortage of liquidity, but how to connect that liquidity with opportunity more effectively across borders,” Khurram Hilal added. “Financial institutions that build trusted connections between capital, markets and digital infrastructure will be best positioned to support sustainable growth across emerging economies.”

As the first international bank to be awarded an Islamic banking licence in Pakistan, Standard Chartered has played a pioneering role in the development of Islamic finance in the country and continues to connect clients with cross-border financing, investment and trade opportunities through its network across Asia, Africa and the Middle East.

The full Standard Chartered Islamic Banking for Financial Institutions: The Islamic Finance Connector Era report is available here: https://www.sc.com/en/corporate-investment-banking/islamic-banking/financial-institutions-report/

Comments

Post a Comment

Popular posts from this blog

realme Unveils its Production Process to its Community with a Visit to its Assembly Plant in Pakistan

         realme’s Fan Meet up started with an informative factory visit and ended with thrilling rounds of bowling   Behind every successful business there is an army of loyal fans lending their support for its endeavors. For realme, the strong presence of its fans has always been felt in every step of the journey to grow to the heights that the smartphone brand has reached now. realme aims to maintain a certain level of transparency with its community of fans. Having them be aware of how realme operates, what goes into the making of realme devices, as well as realme’s core values is highly important in developing the tech democratizer’s relationship with its fan community.   For this reason, realme decided to pull back the curtain on Wednesday, 10 th  August 2022 during its 828 Fan Fest celebrations and took a group of select fans to their assembly plant on the outskirts of the city of Lahore. This inside look was followed by an exciting hi-tea a...
Post a Comment
Read more

LONGi Pakistan's Ramadan Initiative Illuminates Communities in Pakistan

As part of its ongoing commitment to social responsibility and community welfare, LONGi Pakistan, a leading Solar Technology Company, has launched a special Ramadan campaign in Pakistan. During the Holy month of Ramadan, LONGi Pakistan has been dedicated to providing free meals to communities in need, demonstrating its steadfast support for the local populace. Recognizing the importance of extending a helping hand during Ramadan, LONGi Pakistan initiated a social welfare donation campaign aimed at providing essential sustenance to approximately 500 individuals across Pakistan. The campaign underscores LONGi Pakistan's dedication to not only revolutionizing the energy sector but also fostering meaningful connections with communities. In collaboration with local partners, LONGi Pakistan organized Iftari events in Sukkur and Peshawar, where 250 people were provided with nourishing meals in each city. These events served as a testament to LONGi Pakistan's commitment to making a...
Post a Comment
Read more

Seventeen teachers from Beaconhouse complete the International Subject Leadership Certificate

                 Seventeen teachers from Beaconhouse,  one of the largest private educational networks in the world educating over 315,000 students , have successfully completed the inaugural International Subject Leadership Certificate  by the UK-based Professional Training Institute. The 18-month accreditation is a modular course that allows participants to work with experienced practitioners to design exceptional lessons. It aims to develop subject leaders through the design and delivery of challenging Schemes of Work (SOW). Teachers  enrolled in the course reflected on the current context of their subject within their school curriculum, considered what makes successful subject leadership, and explored the course success criteria during the online launch meeting. They gathered evidence to help reflect upon and illustrate the impact of their work on pupils, colleagues and themselves. Du...
Post a Comment
Read more