Maybank Philippines Inc. launched its Islamic banking operations on Aug. 14, 2024 following the grant of authority from the Bangko Sentral ng Pilipinas (BSP).
This marks the second Islamic banking unit (IBU) licensed by the BSP, after CARD Bank Inc. (A Microfinance-Oriented Rural Bank) in June 2023.
Under the BSP regulations, an IBU is a division, department, office or branch of a conventional bank that operates in accordance with Shari’ah principles.
Maybank, which held a soft launch for its Islamic banking operations on July 25, 2024, is the first commercial bank in the country to have IBU license.
BSP managing director Judith Sungsai said the integration of Islamic banking in Maybank’s operations is a significant milestone in the development of Islamic finance in the Philippines.
“The BSP will continue to work closely with industry players to ensure the robust and sustainable growth of the Islamic banking sector,” Sungsai said.
The BSP said it supports the entry of new players in the Islamic banking sector as part of its broader commitment to enhancing financial inclusion and fostering economic development.
It also introduced regulatory reforms to encourage greater participation in Islamic banking by both domestic and foreign banks.
