ISLAMABAD: A leading Bahrain-based international non-profit, aimed at developing the global Islamic finance industry, has showed interest in enhancing collaboration with Pakistan on promoting the Islamic capital market in the South Asian country, the Pakistani finance ministry said on Tuesday, a day after the inaugural Islamic Capital Markets (ICM) Conference in Islamabad.

The conference was jointly organized by the Securities and Exchange Commission of Pakistan (SECP) and the Accounting & Auditing Organization for Islamic Financial Institutions (AAOIFI), the Bahraini firm responsible for the development and issuance of standards in the areas of Shariah, accounting, auditing, ethics and governance for international Islamic finance globally.

On Tuesday, Sheikh Ebrahim Bin Khalifa Al-Khalifa, who is the chairman of the AAOIFI Board of Trustees, held a meeting with Pakistan's Finance Minister Ishaq Dar in the Pakistani capital and exchanged views with him on mutual collaboration in the field of Islamic finance.

The two figures discussed "enhancing mutual collaboration with Pakistan in social welfare, business & financial sectors," the Pakistani finance ministry said in a statement.

"And promoting Islamic finance industry and capital market in Pakistan."

Pakistan has the second-largest Muslim population in the world with very low banking penetration. The government seeks to increase financial inclusion through promoting Islamic finance, as part of the National Financial Inclusion Strategy. Only 21 percent of the adult population had a bank account in 2017, with 13 percent of adults citing religious reasons for not having them, according to the World Bank.

The SECP and AAOIFI also signed an agreement at the conference for joint cooperation in areas of “common interest” that would support the development of the Islamic banking and finance industry.

In 2021, the government set a target of increasing the share of Shariah-compliant instruments in government securities to at least 10 percent by the end of 2022-2023. There are 22 Islamic banking institutions currently operating across the country.

The assets of Pakistan’s Islamic banking industry had posted a year-on-year growth of 29 percent in fiscal year 2022, Dar said as he addressed the ICM Conference on Monday.

LAHORE: Pakistani former prime minister Imran Khan was on Tuesday granted bail on a new charge of abetting violence against the military by his protesting supporters after he was arrested and detained on May 9 in a corruption case, his lawyer said.

The embattled Khan, who says the corruption charges have been concocted, is embroiled in a confrontation with the powerful military, which has ruled Pakistan directly or overseen civilian governments throughout its history.

His May 9 arrest sparked widespread protests by his supporters who ransacked various military facilities, raising new worries about the stability of the nuclear-armed country as it struggles with its worst economic crisis in decades.

Khan, 70, was later freed on the orders of a court.

His lawyer, Intezar Hussain Punjotha, said an anti-terrorism court confirmed the bail on the new charge after the former premier appeared before it and submitted surety bonds.

Khan has denied the charge saying he was in detention when the violence took place.

The bail until June 2 on the new charge means he will not be detained on that charge.

The former international cricket star became prime minister in 2018 with the tacit support of the military, though both sides denied it at the time.

He later fell out with generals and was ousted as prime minister after losing a confidence vote in 2022.

Khan has since then been campaigning for a snap election, with rallies with his supporters across the country, but the prime minister who replaced him, Shahbaz Sharif, has rejected the call for an election before it is due late this year.

The turmoil has exacerbated Pakistan’s economic crisis with inflation at record highs, growth is anaemic amid fears of a sovereign default on external debts unless the International Monetary Fund (IMF) unlocks delayed disbursements.

Dozens of Khan’s supporters have been handed over to army authorities for trial in military courts.

A team of investigators looking into the May 9 violence summoned Khan on Tuesday for questioning but Punjotha said a member of his legal team would go instead.

Khan has appealed for talks to end the crisis. The government has rejected his call.