UAE's Mashreq Bank introduces Shariah-approved digital banking services in Pakistan
Mashreq Bank Expands Operations to Pakistan with Digital Banking Services
Mashreq Bank, Dubai's third-largest lender by assets, has announced its entry into Pakistan with the launch of digital banking services. This move is part of a $100 million commitment to the South Asian country.
The bank, which registered in Pakistan in 2023 and received central bank approval to launch Islamic banking operations last year, aims to streamline remittance inflows and provide digital-first solutions to local consumers in Pakistan.
Pakistan's economy, valued at $350 billion, has a large overseas workforce, with more than 2.5 million Pakistanis living in the UAE alone. Mashreq's new platform will enable overseas Pakistanis in the UAE to open accounts back home and remit funds seamlessly.
The State Bank of Pakistan introduced a new regulatory framework in 2022 and has since granted licenses to several digital banks, including Mashreq. The bank's operations in Pakistan are part of a long-term cooperation, with Mashreq's Chairman, Abdul Aziz Al Ghurair, highlighting the bank's decades-long relationship with Pakistan on the occasion of the announcement.
Fernando Morillo, the Group Head of Retail Banking at Mashreq and Chairman of Mashreq Bank Pakistan, became Chairman when Mashreq launched its full-service digital retail bank in Pakistan in 2025. He stated the institution's vision for creating an ecosystem in Pakistan that connects consumers, small and medium enterprises, and overseas Pakistanis to financial opportunities.
Mashreq's digital banking services in Pakistan will be powered by "state-of-the-art technology, seamless customer experience, and a strong commitment to responsible banking." The services will be fully Shariah-compliant, ensuring they align with the religious and cultural practices of the country.
Pakistan has been encouraging foreign and local lenders to expand digital banking to increase inclusion and attract investment. Mashreq Bank's digital banking services are expected to contribute to these goals, providing zero-fee ATM withdrawals, free debit cards, and AI-driven risk controls to customers.
Mashreq's representative office in Karachi was established in 1978, and the bank's global capability center in Pakistan currently employs over 415 people across various departments. The bank has committed $100 million by this year to support its operations in Pakistan through the digital bank and global capability center.
According to the Chairman, Mashreq Bank views Pakistan as a story of resilience and sustained ambition. The bank's entry into Pakistan is a testament to this view, as it seeks to provide innovative and inclusive digital banking solutions to the Pakistani market.
