Islami Bank Reviews Shariah Governance Framework

Islami Bank Bangladesh PLC has completed a comprehensive review of its Shariah governance framework as part of its ongoing efforts to strengthen, modernise and future-proof its Shariah-compliant banking operations. The review was conducted through a formal meeting of the bank’s Shariah Supervisory Committee, held on Tuesday, 27 January 2026, at Islami Bank Tower in Dhaka. The central objective of the exercise was to assess, in depth, whether all products, services and operational activities of the bank remain fully aligned with established Shariah principles amid a rapidly evolving financial landscape.

The meeting was chaired by Mufti Shamsuddin Zia, Chairman of the Shariah Supervisory Committee. In his address, he emphasised that continuous oversight and scholarly guidance are indispensable in ensuring Shariah compliance, particularly at a time when financial products, delivery channels and customer expectations are changing swiftly. He noted that Shariah compliance extends beyond religious obligation; it constitutes a core pillar of ethical conduct, transparency and public trust. According to him, a robust Shariah governance structure enhances institutional credibility and reinforces confidence among depositors and investors alike.

During the session, the committee reviewed a range of reports presented by the bank’s management. These included findings from recent Shariah audits, the approval status of new and existing products, progress on implementing earlier recommendations, and adherence to ethical standards within investment operations. Particular attention was paid to transparent profit-and-loss sharing mechanisms, the complete avoidance of interest-based transactions, and the expansion of investments that contribute to social welfare and inclusive economic development.

Managing Director Md. Omar Faruk Khan briefed the committee on the bank’s overall performance and strategic initiatives. He informed members that the bank has intensified training programmes, strengthened internal control mechanisms and launched awareness initiatives to embed a culture of Shariah compliance across all levels of the organisation. Committee members welcomed these measures and offered additional recommendations aimed at further enhancing the effectiveness of Shariah supervision.

Discussions also covered emerging challenges, including the rapid expansion of technology-driven banking services, shifting customer expectations and the need to remain aligned with global trends in Islamic finance. The committee observed that an adaptive and resilient Shariah governance framework will play a decisive role in ensuring the bank’s sustainable growth in the years ahead.

Participants at the Meeting

The observations and directives adopted at the meeting are expected to be reflected in the bank’s policy formulation and operational decisions over the coming months. Through this initiative, Islami Bank Bangladesh PLC has reaffirmed its commitment to ethical, transparent and socially responsible banking, further consolidating its position as a leading institution in the country’s Shariah-based financial sector.