The Success Story of Meezan Bank

The economic growth of Meezan Bank in face of deteriorating economic circumstances of Pakistan is a great success of Islamic banking. The leadership and management of Meezan Bank deserve a great Bravo! In 2010 the Meezan Bank attained growth of 106% in its profit after paying taxes. This increased to Rs.3.4 billion in 2011. In the last year it was recorded Rs. 1.650 billion. The increase in the earning per share (EPS) is Rs 4.22 in 2011; earlier it was Rs 2.05 in 2010. The Board of the bank allowed the issue of 12.5% as bonus Shares for year 2011. This affirmation plus the earlier cash dividend of 10% which was paid in July 2011, make the total payout 22.5% for the year 2011. With issuance of this bonus the paid up capital of the bank will increase to Rs. 9 billion. The Bank will be able to meet the minimum requirement of SBP capital for 2012 of Rs 9 billion a year in advance.

It is now 10 years since the Meezan Bank was established and started banking in conformity with the Islamic principles of economics which was a great challenge for its leadership and management. However, the bank managed to attain the status of sustainable and the fastest growing bank in Pakistan. The total assets of the bank exceeded 200 billion rupees by 2011, whereas its deposits swelled up by 30% since 2010 to 170 billion rupees.


Global Finance Magazine declared Meezan Band the 'Best Islamic Financial Institution in Pakistan' and Islamic Finance News of RED money Group, Malaysia declared it 'Best Islamic Bank in Pakistan'. This success story of the bank is a proof of the executive skills of the leadership and management of the bank.

This is not a simple success story of banking skills, the leadership and the management of the bank have to fight at various fronts to make their way out to success. Islamic banking had been considered a difficult venture, and still it is. But it was made possible with able and sincere executives' command and the scholarly guidance of the Shariah advisors of the bank who brought about innovative and practicable ideas in conformity with the principle of Islamic finance. They succeeded in convincing the masses through their effective coaching; holding seminars in universities and in public centers, participating in TV talk shows, writhing newsletters and articles in news papers that the their brand of Islamic banking is really "Islamic".

The bank hired eminent scholars who take part in national and international symposiums, conferences, seminars, workshops etc at regular basis.

Above all, they succeeded to a great extent in alleviating the doubts of the typical conservative Islamic scholars regarding Islamic banking or else they superseded them by providing the Muslim masses practical solutions and system of Islamic finance which the conservative ones could not provide. So they were successful to make the Muslim masses believe their banking as Islamic and Halal.

To establish Islamic banking free of interest in the presence of very deep rooted conventional banking system based on interest was never easy. But the scholarly expertise of the Shariah Board of the Meezan Bank and confidence and skills of its executives made it possible.

Meezan Bank has succeeded so far in opening 53 branches by 2011. It brought its online branch network to 275 branches which are located across 83 cities of Pakistan; hence it becomes 9th biggest banking network of Pakistan.

Meezan bank is working consistently to spread awareness in the masses and to produce future leadership through leadership development and educational programs. The bank has initiated the establishment of Islamic Stock Market Indices. It provides advisory services to new firms whose executives want to follow principles of Islamic finance.

The bank holds Training Sessions as leadership development programs at national and international level to educate and train interested individuals, in which distinguish Islamic scholars conduct courses in Islamic Banking at various universities. They also offer their services for making and developing curriculum for Islamic finance and banking.

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