The Islamic banking industry has shown robust growth during the last six years while increase in its assets and deposits during the last fiscal year 2020-21 remained highest on a year-on-year basis. This was stated by the State Bank of Pakistan in a recently issued report. The assets of the Islamic banking industry expanded by Rs408 billion during the last quarter of 2020-21 and stood at Rs4.797 trillion as compared to Rs4.389 trillion in the previous quarter, said the report. The main reason behind this expansion was financing (net) of IBI, which observed a quarterly rise of Rs165 billion during the period under review. Similarly, investment (net) of IBI, exhibited a surge of Rs17.6 billion. The market share of IBI’s assets in the overall banking industry’s assets was recorded at 17 per cent by the end of June 2021. Analysis of assets by breakup among IBs and IBBs divulges that IBs recorded a quarterly growth of Rs156 billion to reach Rs2.700 trillion by the end of June 2021. The assets of IBBs reflected a growth of Rs252 billion and stood at Rs2.097 trillion by the end of June 2021. The share of IBs and IBBs in the overall assets of IBI was 56.3 percent and 43.7 percent, respectively. The net investments of IBI registered a growth of Rs17.6 billion during the period under review and were recorded at Rs1.363 trillion by the end of June 2021, the central bank said. The share of net financing and investments in total assets (net) of IBI was recorded at 44.2 percent and 28.4 percent, respectively, by the end of June 2021. The SBP report said that deposits of the Islamic banking industry also witnessed a quarterly growth of Rs365 billion and were recorded at Rs3.822 trillion. The year-on-year (YoY) growth of assets and deposits was recorded at 32 per cent and 29.7 percent, respectively, by the end of June 30, 2021. The market share of the Islamic banking assets and deposits in the overall banking industry stood at 17 percent and 18.7 percent, respectively. On the profitability side, the profit-before-tax of the Islamic banking industry was registered at Rs42.6 billion by the end of June 2021, said the report. The Islamic banking industry network consisted of 22 Islamic banking institutions, including five full-fledged Islamic banks and 17 conventional banks having standalone Islamic banking branches by the end of June 2021. During the quarter (April–June 2021), 79 branches were added in the network of the Islamic banking industry. As a result, the branch network of IBI increased to 3,583 branches spread across 124 districts of the country by the end of June 2021. The branch’s network of IBI is mainly concentrated in Punjab; followed by Sindh and Khyber-Pakhtunkhwa. The number of Islamic banking windows (dedicated counters at conventional branches) operated by IBBs stood at 1,562 by the end of June 2021.