Raqami Islamic Digital Bank and Haball forge strategic partnership to launch Shariah- compliant embedded finance for Pakistan's SME sector
KARACHI: In a major milestone for Pakistan's digital financial ecosystem, Raqami Islamic Digital Bank, the country's first Islamic digital bank, has partnered with Haball, a pioneering fintech focused on B2B supply chain digitization, to roll out Shariah-compliant, embedded supply chain financing targeted at addressing key pain points of small and medium enterprises (SMEs).
By embedding Islamic financing options directly within the corporate's existing supply chain workflows, the platform provides SMEs access to collateral-free liquidity based on their receivables and purchase orders—without the friction of traditional financing applications and pledging of assets.
The partnership responds to a critical national need: despite contributing over 40% to GDP and employing the majority of the workforce, over 90% of Pakistan's SMEs remain financially underserved.
Through this partnership, Raqami's SME customers will be able to use Haball's platform to operationalise a digitally native finance model that empowers SME businesses with access to working capital, precisely when and where it's needed—within existing business workflows.
This initiative supports a cornerstone of the State Bank of Pakistan's financial inclusion roadmap and promotes innovation and digitisation in the sphere of Supply Chain Finance.
Key features of the Raqami-Haball partnership entail:
• End-to-end digital onboarding and Shariah-compliant KYC
• Murabaha-based financing structures for fresh purchase orders
• Seamless integration with ERPs, anchor-led ecosystems and distributor networks
• Instant disbursements through embedded Islamic financing rails, ensuring immediate liquidity and cashflow relief
• AI-powered credit assessment based on actual cash flows and transaction history, reducing dependency on static credit scoring
• Full audit trails and real-time exposure tracking, ensuring compliance, transparency, and control for both financiers and anchors
'Our mission at Raqami is to reimagine Islamic banking through innovation,' said Umair Aijaz, CEO of Raqami Islamic Digital Bank. 'This partnership with Haball enables us to bring Shariah-compliant embedded finance to the very heart of Pakistan's supply chains—empowering SMEs to enjoy real, tangible access to capital and growth, without compromising their values.'
Omer Bin Ahsan, Founder & CEO of Haball, added: 'At Haball, we've always believed that the future of finance lies in embedded, contextual offerings. By partnering with Raqami, we are embedding Islamic finance into the transactional core of the existing SME ecosystem—democratizing access to capital and accelerating supply chain transparency.'
About Raqami Islamic Digital Bank
Raqami Islamic Digital Bank Limited is Pakistan's first Islamic digital retail bank, awarded a Restricted License by the State Bank of Pakistan to commence Pilot Operations under the Licensing and Regulatory Framework for Digital Banks. Raqami aims to offer inclusive, Shariah-compliant financial solutions through a digitally innovative, tech-first approach. The bank is backed by Pakistan Kuwait Investment Company (Private) Limited and Enertech Holding Company KSC, a subsidiary of Kuwait's sovereign wealth fund, Kuwait Investment Authority. With a vision to build trust and transparency, Raqami intends to serve the evolving needs of modern retail banking customers.
About Haball
Haball is a leading Pakistani fintech transforming B2B payments and supply chains through embedded finance. Haball works with banks, corporates, and distributors to digitize transactions and enable access to credit and liquidity for SMEs through secure, real-time infrastructure.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
1737100823-0%2Fsidra--(7)1737100823-0.png&w=3840&q=100)
Express Tribune
3 hours ago
- Express Tribune
Pakistan signs '$1b' loan facility
The Ministry of Finance signed a five-year long-term financing facility for $1 billion, the government said in a statement on Wednesday. The financing is led by Dubai Islamic Bank and Standard Chartered, and the Islamic tranche forms 89% of the loan facility, according to the statement. "The Ministry of Finance has signed a syndicated term finance facility of $1,000 million partially guaranteed by a Policy-Based Guarantee of the ADB Programme 'Improved Resource Mobilisation & Utilisation Reform'," according to a press release. "The facility is a landmark transaction for the Government of Pakistan that demonstrates strong support from leading financiers in the region. This is a five-year multi-tranche facility including both Islamic and conventional tranches," it said. The finance ministry said that the Islamic facility was structured to be fully compliant with AAOIFI standards, and accounts for 89 per cent of the total financing amount, and the remaining 11pc was from conventional financing. It added, "The transaction was also the first facility supported by ADB's Policy-Based Guarantee linked to policy reform measures undertaken by an ADB Member Country, i.e Pakistan." "The ADB programme is designed to support Pakistan to build long-term fiscal resilience and stability and has supported Pakistan's re-entry into international commercial markets, with significant interest from Middle Eastern Banks," the press release read. Meanwhile, the ministry announced that it successfully raised over Rs1.2 trillion through a major auction of government bonds held on Wednesday. This includes the launch of a new 15-year Zero Coupon Bond, the first of its kind in Pakistan, which received strong demand from investors and raised over Rs47 billion. This new bond does not pay interest every year. Instead, investors receive a lump sum at the end of 15 years. This helps the government reduce short-term repayments and plan finances better. The strong response shows that investors are confident in Pakistan's economy and reforms. This move is part of the government's broader strategy to reduce borrowing risks, extend the repayment period of debt, and promote Islamic and long-term financial products. Yields on other government bonds also dropped, indicating optimism in financial markets about falling inflation and lower interest rates in the future. Pakistan's debt is now becoming more stable. The average repayment period of domestic debt has increased from 2.7 years last year to 3.75 years now, reducing the pressure to repay loans quickly. Moreover, more pension funds and insurance companiesrather than just banksare now investing in government bonds. This helps spread financial risk and deepen the local investor base. Finance Minister Senator Muhammad Aurangzeb said: "This is a major step forward in making Pakistan's financial system stronger and more resilient. We are introducing new, smart ways of borrowing that reduce risk and give investors more options. Our aim is to manage public debt responsibly, promote Islamic finance, and attract more long-term investment to support the country's economic growth." The Ministry of Finance is also working on more products to allow ordinary citizens to invest in government bonds, especially Islamic ones, to encourage savings and financial inclusion. Despite global uncertainties, today's auction shows that Pakistan's economy is gaining investor trust and moving in the right direction. With additional input from Irshad Ansari
Business Recorder
3 hours ago
- Business Recorder
StanChart Pakistan launches ‘Score Your Goals' campaign
KARACHI: Standard Chartered Bank Pakistan has launched an exciting new campaign titled, 'Score Your Goals,' offering clients a once in a lifetime opportunity to watch Liverpool FC live at Anfield through a unique investment led reward programme. Running until 31st August 2025, the campaign invites clients to invest in selected wealth and insurance solutions including mutual funds and government securities across both conventional and Shariah-compliant options. In return, clients can earn entries into a grand prize draw where five lucky winners will enjoy the full Liverpool FC experience -including return airfare, hotel accommodation, and matchday access at the iconic Anfield Stadium. The campaign also offers guaranteed Liverpool FC merchandise such as official jerseys and scarves based on the investment amount. Saadya Riaz, Head Wealth & Retail Banking, SC Pakistan stated, 'This campaign is a celebration of our global partnership with Liverpool FC and reflects our ongoing commitment to delivering unique and rewarding experiences for our clients. By aligning financial planning with a passion for sport we are bringing something truly special to our clients in Pakistan.' Copyright Business Recorder, 2025
Business Recorder
5 hours ago
- Business Recorder
MoF signs 1bn loan facility backed by ADB guarantee
ISLAMABAD: The Ministry of Finance has signed a syndicated term finance facility of $1 billion partially guaranteed by a policy based guarantee of the Asian Development Bank (ADB)'s Programme 'Improved Resource Mobilization & Utilisation Reform'. An official statement by the Finance Ministry stated that Dubai Islamic Bank acted as the sole Islamic global coordinator while Standard Chartered Bank acted as the mandated lead arranger and book runners. Other financiers include Abu Dhabi Islamic Bank as the mandated lead arranger and Sharjah Islamic Bank, Ajman Bank and HBL as arrangers. The facility is a landmark transaction for the Government of Pakistan that demonstrates strong support from leading financiers in the region. ADB approves $800m financing for Pakistan This is a 5-year multi-tranche facility including both Islamic and conventional tranches. The Islamic facility was structured to be fully compliant with AAOIFI standards, and accounts for 89 per cent of the total financing amount. The remaining 11 per cent is from conventional financing. The transaction is also the first facility supported by ADB's Policy-Based Guarantee linked to policy reform measures undertaken by an ADB Member Country, i.e. Pakistan. The ADB Program is designed to support Pakistan to build long-term fiscal resilience and stability and has supported Pakistan's re-entry into international commercial markets, with significant interest from Middle Eastern Banks. Government of Pakistan has entered into the Middle Eastern financial market after nearly two and a half years, success of which indicates the renewed trust of the market in the fiscal stability and the overall improvement in the macroeconomic indicators of Pakistan. This transaction also marks the beginning of new partnership of Government of Pakistan with Middle Eastern banks, the Ministry added. Federal Minister for Finance Muhammad Aurangzeb recently stated that they have gone back to the commercial market in this fiscal year and are in the process of syndicating around $2 billion of commercial borrowing and expecting to shore up reveres from the current around $11-12 billion to $14 billion by end of the current fiscal year. Advisor to Finance Minister Khurram Shahzad, took to X formerly Twitter, and stated that Pakistan signed landmark financing deal with Middle Eastern banks backed by ADB - back into global markets after 2.5 years. Pakistan secures $1 billion landmark financing with ADB-backed guarantee and strong Middle Eastern banks' support. Government of Pakistan re-enters global markets with $1 billion syndicated financing. Pakistan attracts strong Middle East financing after 2.5 years. ADB-backed deal signals market confidence in Pakistan's economic reforms. This multi- tranche Islamic-conventional competitive financing deal with regional banks shows fiscal reform gains traction'. Copyright Business Recorder, 2025
