Raqami Bank Secures License for Digital Retail Pilot

Raqami Islamic Digital Bank Limited has been granted a provisional banking permit by the State Bank of Pakistan. This license, issued under the Digital Banks Licensing and Regulatory Framework, enables Raqami to initiate pilot operations as a Digital Retail Bank.

This clearance represents a pivotal advancement for Raqami as it strives to become Pakistan’s premier fully Shariah-compliant, Digital Retail Bank. The bank aims to deliver a user-friendly and comprehensive banking experience, enhanced by tailored products and services designed to adapt to the evolving financial demands of its clientele.

The State Bank of Pakistan’s Digital Banks Licensing and Regulatory Framework is designed to stimulate innovation, broaden financial inclusion, and promote responsible digital banking practices. This is facilitated through a phased licensing approach, with complete Commercial Operations commencing after the Pilot phase.

Prior to obtaining Pilot approval, Raqami exhibited its operational readiness to the State Bank of Pakistan. This included showcasing its advanced technology and robust information security infrastructure, effective risk management protocols and controls, and adherence to both Shariah principles and regulatory standards.

The issuance of the restricted Pilot license triggers a crucial stage focused on confirming Raqami’s comprehensive systems within a supervised and secure setting.

Mr. Abdullah Al-Mutairi, Chairman of Raqami Bank’s Board of Directors, stated that the global fintech and digital banking sector is anticipated to experience substantial growth, driven by evolving customer preferences for digital financial services and products.

Mr. Umair Aijaz, Chief Executive Officer of Raqami Bank, noted that the State Bank of Pakistan’s go-ahead to start Pilot operations is a significant advancement toward becoming the nation’s first complete Shariah-compliant Digital Retail Bank.

Dr. Mufti Muhammad Imran Ashraf Usmani, Chairman of the Shariah Board at Raqami Bank, emphasized that Raqami is committed to Islamic values, ensuring all services are ethical, fair, and Shariah-compliant.

Raqami intends to increase its investment in a scalable technology platform enhanced by Open APIs, Banking-as-a-Service (BaaS) capabilities, and intelligent automation. This setup will enable smooth integration with fintech companies and telecom providers, offering real-time and secure Shariah-compliant financial services.

Raqami is supported by Pakistan Kuwait Investment Company (Private) Limited, a joint venture between the Governments of Pakistan and Kuwait, and Enertech Holding Company KSC, a subsidiary of the Kuwait Investment Authority.