For June 2026 declared rates, Raqami Islamic Digital Bank paid the highest published savings rates among Pakistani banks: 10.00% to 11.00% on Mudaraba savings by tier, and 11.50% on a 1-year term deposit. Among branch banks, HabibMetro's SIRAT window declared 8.48% on savings and Bank AL Habib declared 8.00%, or 8.50% on its women's account. One honest warning before the table: these are monthly declared results under Mudarabah, not fixed offers, and they move with State Bank policy. Always check the current month before opening an account.
Ready to compare halal options?
How Islamic bank profit rates actually work
Conventional banks advertise an interest rate and owe you exactly that. Islamic banks cannot. Your deposit joins a Mudarabah pool that finances real assets, and the bank declares each month what the pool actually earned, split with depositors according to pre-announced weightages. That is why every figure in this article carries a month. A bank that tops the table in June can slip by December, and rates across the market fell through 2025 and 2026 as the State Bank eased policy.
Full-fledged Islamic banks: June and July 2026 declared rates
Raqami Islamic Digital Bank, licensed in May 2026 and the first Shariah-compliant digital retail bank, published Mudaraba savings at 10.00% to 11.00% by tier for June 2026, with term deposits from 10.00% at 7 days to 11.50% at 1 year. Those were the highest published bank rates we found. Raqami's rates rose sharply from 7.30% to 7.80% at its December 2025 launch, which shows how quickly declared rates can move in either direction.
Meezan Bank declared 7.04% on its Rupee Savings Account for July 2026. Its Bachat Account paid a slab-wise 14% on the first Rs 499,999 and 11.5% above that, and Certificates of Islamic Investment ran 7.05% to 10.05% by tenor. BankIslami declared 7.8355% on its savings pools for June 2026. Bank Makramah, still mid-conversion to Islamic, declared roughly 8.14% on Islamic savings for June 2026.
Islamic windows of conventional banks
Among windows, June 2026 declared savings rates ran: HabibMetro SIRAT 8.48%, with a promotional Islamic Saving Plus at 9.81%; Bank AL Habib 8.00% on standard savings and 8.50% on its Woman Islamic Savings account; HBL Islamic 7.23% across its PLS, Nisa, Rutba and Uraan savings variants; Bank Alfalah Islamic 7.01% on Musharaka savings and 7.23% on Mahana Amdani; Bank of Khyber Raast 7.41%; and Allied Aitebar 6.69% on standard Islamic savings, rising to 8.00% on its Khanum women's and senior citizen accounts.
Term deposits pay more
Locking money up lifts the rate. June and July 2026 declared examples: Raqami's 1-year deposit at 11.50%, Bank of Khyber's 1-year KIIC at 10.08%, Meezan's 1.5-year COII at 10.05%, Bank Alfalah's Alfa Digital term deposit up to 8.97%, and HBL Islamic's Al-Samarat certificates at 6.62% to 8.14% by tenor. If you will not need the money for a year, the gap between a savings account and a certificate is often two to three percentage points.
The non-bank options that beat every bank
Two government-linked channels published higher rates than any bank. The CDNS Sarwa Islamic accounts showed 11.10% on the running SISA account and 11.10% to 11.52% on 1, 3 and 5-year SITA terms per the ticker dated July 18, 2026. Islamic Naya Pakistan Certificates, for overseas Pakistanis with Roshan Digital Accounts, quoted 11.75% to 12.75% in PKR as of August 2026. NRSP Microfinance Bank's Islamic division declared up to 12.05% on 3-year Behtreen Amdan certificates for June 2026, though microfinance bank deposit protection differs from commercial banks. None of these is a commercial bank, so the comparison is not exact, but savers should know they exist. Details on the government line are in our National Savings profile.
What the table cannot tell you
Three caveats before you chase the top number. First, several banks publish rates only as image PDFs we could not extract, including BOP Taqwa and NBP Aitemaad for the months we checked, so this table is necessarily incomplete. Second, declared rates depend on your balance tier and product variant, and the headline figure is usually the best tier. Third, a higher declared rate tells you nothing about Shariah governance quality. Raqami and Meezan both publish scholar names and fatwas; some higher-paying products elsewhere publish far less.
Our advice: pick two or three banks whose governance you trust, then compare their current declared rates and weightages side by side. Our bank accounts page tracks the major options, and the Raqami profile covers the current rate leader in detail.
Frequently asked questions
Which Islamic bank pays the most on savings right now? For June 2026 declared rates, Raqami paid 10.00% to 11.00% on Mudaraba savings, the highest we found among banks. Among branch networks, HabibMetro SIRAT declared 8.48% and Bank AL Habib 8.00% to 8.50%. Rates change monthly, so verify the current month.
Are these rates guaranteed? No. Islamic banks declare profit after each month based on what the Mudarabah pool earned. The published figures are historical results, and deposit terms state that depositors bear losses in proportion to investment. In practice Pakistani Islamic banks have consistently declared positive rates, but the structure is genuinely different from a guaranteed interest rate.
Why did Islamic savings rates fall through 2025 and 2026? Declared rates follow the assets in the pool, which are largely priced off KIBOR and the State Bank policy rate. As policy eased, pool earnings fell. Bank AL Habib's own published history shows its savings rate declining from 18.25% in July 2024 to 8.00% by June 2026.
Compare providers in your state
See side-by-side comparisons of Shariah-compliant products, or let our matcher recommend the best options for your situation.
Do women get better Islamic savings rates? Often, yes. June 2026 examples include Bank AL Habib's Woman Islamic Savings at 8.50% versus 8.00% standard, and Allied Aitebar's Khanum account at 8.00% versus 6.69% standard. These are declared rates on dedicated women's variants.
Is the CDNS Sarwa account better than an Islamic bank account? It paid more as of July 2026: 11.10% on SISA versus 10% to 11% at the best bank. But Sarwa's Shariah board members are not published, its rates are set administratively by the Finance Division, and it is a savings scheme rather than a transactional bank account. Many savers use both for different purposes.