Islamabad, In a notable recognition of its commitment to corporate social responsibility, Bestway Cement has garnered three awards at the 16th Annual International CSR Summit 2024, affirming its leadership in CSR initiatives, relief efforts, and green energy endeavors. The company's consistent efforts in promoting sustainable development have set a benchmark within Pakistan's corporate sector, particularly in addressing environmental and societal issues.
According to Bestway Cement Pakistan, the accolades reflect Bestway's strategic approach to integrating sustainability with its business operations, highlighting its role in community engagement and development. The company's initiatives, especially in healthcare and education, demonstrate a profound impact on local communities, reinforcing its position among Pakistan's top CSR contributors.
Bestway Cement's charitable activities, channeled through the Bestway Foundation, emphasize education as a priority, with significant investments directed toward building schools and a college, providing free, quality education. The inauguration of new educational facilities in Hattar and Farooqia, along with plans for further expansions, exemplifies its long-term vision for community upliftment. Additionally, the operation of medical centers at its production sites illustrates Bestway's holistic approach to community welfare, offering essential health services to thousands annually.
Karachi, Islamic banking windows operated by conventional banks in Pakistan have witnessed a significant financial performance boost in CY23, with core income doubling and deposits increasing by 45% year-over-year. This growth outpaces the conventional deposits of the same banks, which grew by 25% YoY. The analysis, which covered nine Islamic windows and branch banking operations constituting almost 90% of total window operations, revealed that the share of Islamic banking as a percentage of total deposits increased from 8.7% to 10.1%.According to JS Global, the remarkable growth in Islamic banking operations is a result of a nearly twofold increase in net spreads growth year-over-year, significantly outstripping the growth in Net Interest Income (NII) from conventional operations. The report also noted that the rising interest rates and the availability of Shariah-compliant investment avenues have contributed to maintaining earnings yields comparable to total operations, while the relaxation from the MDR regulation to Islamic operations has kept the cost of funds lower than total operations.
United Bank Limited (UBL) stood out by ascending from the fourth to the second-largest holder of Islamic deposits, narrowing the gap with HBL, the largest holder, to 12% or Rs45 billion. UBL also recorded the highest deposit growth at 149% YoY. Furthermore, the contribution of Islamic deposits to savings deposits was notably high for UBL and Bank AL Habib (BAHL), around 20%, leading to Net Interest Margins (NIMs) expanding to approximately 7% in CY23, in contrast to about 4% for total operations.
On the bottom line, Islamic windows reported a 146% YoY growth before taxes, significantly outpacing the growth of conventional banking operations, which stood at 65% YoY. The Bank of Punjab (BOP) saw the highest contribution from Islamic banking operations to its profit before tax. The report emphasizes the increasing importance of Islamic banking within the broader banking landscape in Pakistan, demonstrating robust growth in deposits, core income, and profitability.
This analysis, provided by JS Research, highlights the dynamic expansion of Islamic banking in contrast to conventional banking operations, reflecting a growing preference for Shariah-compliant financial products among Pakistani consumers and investors. As Islamic banking continues to carve out a larger share of the market, the financial landscape in Pakistan is witnessing a significant shift towards more diverse and inclusive banking practices.