Islamic banking

Overview Islamic banking Takaful Islamic securities Islamic funds

Brunei Darussalam’s banking system is characterised by a dual banking system consisting of Islamic and conventional banks and finance companies. The banking system consists of one Islamic bank, seven conventional banks, two finance companies, as well as an Islamic Trust Fund which is set up under its own statute.

Highlights (Q1 2024)

Islamic pattern

1

Islamic bank
Islamic pattern

1

Islamic trust fund
Islamic pattern

1

Islamic finance company
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BND 14.3B

Total Islamic bank assets
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1.8%

Return on assets
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12.1%

Return on equity

Total assets

In terms of asset growth, the banking sector experienced a decline of 4.17% y-o-y from BND20.67 billion in Q4 2022 to BND19.81 billion in Q4 2023, mainly due to a decrease in the banks’ cash holdings. In the same period, finance companies recorded a growth of 4.54% y-o-y from BND2.00 billion to BND2.09 billion, primarily due to an increase in time deposits. The takaful and insurance sector recorded a growth of 7.84% y-o-y from BND1.87 billion to BND2.02 billion due to an increase in recoverable from reinsurers and investment assets.