Shariah-compliant equity securities now account for 65 percent of the Pakistan Stock Exchange’s market capitalization, with 309 listed equity securities classified as Shariah-compliant, according to Securities and Exchange Commission of Pakistan Commissioner Imtiaz Haider. The figures were shared during the fifth SECP Talk Series, held under the theme “The Future of Islamic Finance: Pakistan and the Global Perspective,” where speakers discussed the development of Pakistan’s Islamic capital market and its position within the broader global Islamic finance landscape.
Speaking at the session, Haider said the market capitalization of Shariah-compliant equities had reached Rs13.2 trillion, representing a substantial portion of the overall PSX market. The figures indicate the significant presence of Shariah-compliant securities within Pakistan’s listed equity market, providing investors with a broad range of investment opportunities that meet Shariah requirements. With 309 equity securities classified as Shariah-compliant, the segment has become an important component of the country’s capital market structure.
Haider also highlighted developments in the Islamic mutual fund industry, saying assets managed by Islamic mutual funds had reached Rs2.2 trillion. Out of a total of 389 mutual funds, 197 are classified as Shariah-compliant. The figures demonstrate the growing role of Islamic investment products within Pakistan’s asset management industry and show the scale of participation in investment vehicles designed to operate according to Shariah principles.
The SECP commissioner’s remarks came during discussions focused on the future development of Islamic finance in Pakistan and international markets. The session brought together regulatory and industry perspectives on Islamic capital markets, including Shariah-compliant equities, Sukuk and Islamic mutual funds. These instruments were identified as important segments of the Islamic capital market, with their development linked to broader objectives involving investment, financial participation and economic activity.
Yousef Hassan Khalawi, Secretary General of the Islamic Chamber of Commerce and Development, said Islamic finance can serve as an important means of promoting financial inclusion and economic development. He highlighted Sukuk, Shariah-compliant equities and Islamic mutual funds as key areas within the Islamic capital market, noting their role in expanding the range of financial products available to investors and supporting wider participation in the financial system.
Khalawi also pointed to Waqf and Islamic social finance as areas that can contribute to social and development objectives. At the same time, he said fintech is opening new opportunities by improving the speed and access associated with financial services. The growing use of financial technology can support wider access to Islamic financial products, although its development needs to be accompanied by appropriate oversight and risk controls.
He stressed that effective monitoring of financial risks remains necessary as fintech adoption expands across financial services. According to Khalawi, the development of new financial technology should take place alongside adherence to Shariah principles, ensuring that technological advances within Islamic finance remain consistent with the requirements governing Shariah-compliant financial activities.
Khalawi further emphasised the importance of an effective regulatory framework for the development of the Islamic financial system. A clear and appropriate regulatory structure can provide the foundation required for Islamic financial institutions and capital market products to develop while maintaining confidence among investors and other market participants. The discussion highlighted the need to balance growth in Islamic finance with sound regulation, risk monitoring and continued compliance with Shariah principles.
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