پاکستان میں اسلامی بینکاری معیارات و ضوابط میں اصلاحی تجاویز کا تجزیاتی مطالعہ

An Analytical Study of Reform Proposals in Islamic Banking Standards and Regulations in Pakistan

Abstract

This study offers a comprehensive analytical review of the existing Islamic banking standards and regulatory frameworks in Pakistan, focusing on the need for reforms that ensure both Sharīʿah authenticity and operational efficiency. The research investigates how Pakistan’s Islamic banking sector—regulated primarily by the State Bank of Pakistan (SBP) and guided by the Sharīʿah Advisory Boards—has evolved in defining and implementing standards for Sharīʿah compliance, corporate governance, product structuring, and financial reporting. Employing a qualitative and analytical methodology, the paper examines the effectiveness of these regulatory mechanisms vis-à-vis AAOIFI (Accounting and Auditing Organization for Islamic Financial Institutions) and IFSB (Islamic Financial Services Board) benchmarks. It identifies key gaps in Pakistan’s regulatory architecture, such as limited uniformity in Sharīʿah rulings, inadequate monitoring mechanisms, lack of transparency in profit distribution, and insufficient training of banking professionals in Islamic jurisprudence (fiqh al-muʿāmalāt). The research also explores reform proposals aimed at strengthening the system—such as the institutionalization of a centralized Sharīʿah authority, the enhancement of Sharīʿah audit functions, the integration of maqāṣid al-sharīʿah (objectives of Islamic law) into financial decision-making, and the development of ethical performance indicators alongside financial ones. The findings suggest that while Pakistan’s Islamic banking industry has made significant progress in aligning with global Sharīʿah standards, its sustainability depends on continuous regulatory evolution that balances legal precision, ethical substance, and market adaptability. The study concludes that meaningful reform lies not only in structural modification but also in cultivating a value-based regulatory culture grounded in justice (ʿadl), trust (amānah), and social responsibility.