An important meeting of the United Madaris Council was held, attended by representatives of ten religious boards and institutions. The meeting expressed concerns over the introduction of new registration policies for madaris by provincial governments, in addition to federal regulations. It was stated that provincial interference has slowed down the implementation of state-level decisions made in 2017 in the context of FATF requirements for financial transparency, and the intended transparency goals are not being achieved.
The spokesperson of the United Madaris Council and Director General of Nizam-ul-Madaris Pakistan, Dr. Mir Asif Akbar, said that once a certificate is issued by the DGRE (Directorate General of Religious Education), madaris should also be granted a certificate from the Charity Commission so that they can promptly open their bank accounts.
He added that the State of Pakistan requires all religious institutions to conduct financial transactions through bank accounts. However, due to the introduction of a parallel registration system by provincial governments alongside the federal system, madaris are facing difficulties in opening bank accounts.
He emphasized that after registration with DGRE—the regulatory authority for religious institutions—no additional registration should be necessary. Conducting financial transactions through bank accounts is an essential requirement under FATF guidelines; otherwise, Pakistan may once again face scrutiny.
He further stated that instead of introducing separate registration systems, provincial governments should trust the decisions of DGRE and link their systems with it, so that bank accounts can be opened without delay.
Dr. Akbar also remarked that it is surprising that the demand for opening bank accounts originally came from the State of Pakistan and was accepted by madaris, yet now provincial governments are creating obstacles in this process.
He concluded by noting that despite DGRE’s efforts—including letters sent through the State Bank of Pakistan to all commercial banks—the implementation of its decision to ensure financial transparency through banking transactions is still pending.
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