Islamic Bank Australia

What Islamic Bank Australia does

Islamic Bank Australia (legal entity Islamic Money Australia Pty Ltd) is a Sydney-headquartered, pre-launch financial institution building Australia's first Shariah-compliant bank. Founded in 2022 and operating from Level 35 of International Towers One at Barangaroo, the company is developing a four-product retail and small-business banking suite structured around Islamic finance principles: an Everyday Account built on the Wadiah (safekeeping/guardianship) model with Visa Debit, Apple Pay, and Google Pay; Term Deposits built on the Wakala (agency) profit-sharing model with 1–12 month tenors; Ijarah-based Home Finance enabling progressive property-share ownership via rent rather than interest; and forthcoming Business Accounts. The platform is digital-first, distributed through iOS and Android apps with self-serve onboarding via phone verification, selfie video, and photo ID.

The company holds Australian Financial Services Licence and Australian Credit Licence 534355 and is an AFCA member (76324), but as of 1 March 2024 it is not yet an Authorized Deposit-taking Institution (ADI) and is not conducting banking business in Australia. A dedicated Shariah Committee oversees product compliance, and a stated investment screen excludes haram industries. Pricing is not publicly disclosed; the company states that home finance rental rates are intended to be competitive with major banks. It raised approximately AUD 6.5 million in May 2023 in a round led by Hejaz Financial Services, and has built a multi-channel pre-launch presence (social media, content marketing, waiting list) targeting Australian Muslims and ethically-minded consumers.

Name

Islamic Bank Australia

Legal name

Islamic Money Australia Pty Ltd

Website

https://islamicbank.au

Company type

Private

Founded year

2022

Operating status

Operating

Headcount range

11–50 employees

Short description

Islamic Bank Australia is a Sydney-based, pre-launch digital bank building Australia's first Shariah-compliant retail and small-business banking suite — Everyday Accounts, Term Deposits, and Home Finance — for Australian Muslims and ethically-minded consumers.

Ownership category

akta.pro rank

Product category

Islamic Retail Banking

NAICS

Depository Credit Intermediation (5221), Commercial Banking (522110), Savings Institutions and Other Depository Credit Intermediation (52218)

SIC

Finance Services (6199)

akta.pro primary industry

Islamic Retail Banking (FSABAGAA)

akta.pro secondary industries

Shariah-compliant Financing Products (Murabaha, Ijara, Tawarruq, Istisna, Salam) (FSABAGAH), Islamic Deposit & Account Products (Current/Savings/Investment Accounts) (FSABAGAI), Islamic SME & Commercial Banking (FSABAGAB)

Keywords

• Shariah-compliant banking
• Islamic finance products
• Home finance solutions
• Digital banking services
• Term deposit accounts

Headquarters

HQ city

Sydney

HQ country

Australia

HQ region

Oceania

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Technology or R&D, Operations, Marketing or Sales, Infrastructure

Revenue model

1. Everyday Account Fees: Fee-based revenue from everyday transaction accounts including potential interchange fees from Visa Debit transactions.
2. Term Deposit Profit Sharing: Revenue generated through Wakala-based profit-sharing arrangements on term deposits.
3. Home Finance (Ijarah): Rental income from Ijarah-based home financing arrangements where the company maintains ownership share.

Pricing tiers

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

Islamic Bank Australia is building a digital-first, Shariah-compliant bank offering an Everyday Account (Wadiah-based) with Visa Debit and mobile wallet support, Wakala-based Term Deposits distributing profit share rather than interest over 1–12 month terms, Ijarah-based Home Finance enabling progressive property ownership via rent, and Business Accounts for Shariah-compliant commercial banking. All products are overseen by a Shariah Committee and exclude riba (interest) and haram-industry investment.

Product overview

Islamic Money Australia is building Australia's first Shariah-compliant financial services institution offering a unified suite of deposit and finance products — all structured around Islamic principles (Wadiah, Wakala, Ijarah) and overseen by a dedicated Shariah Committee. The portfolio comprises four core offerings: an Everyday Account (Wadiah) for daily transactions with Visa Debit and mobile payment support; Term Deposits (Wakala) offering profit-share rather than interest across 1–12 month terms; Home Finance (Ijarah) enabling progressive property ownership through a rent-based model; and Business Accounts for commercial customers. All products are designed to exclude riba (interest) and prohibited industries, with a stated goal of cost-competitiveness against major banks. The institution is not yet open for business as of the current date.

Differentiator

Problem solved

Functional benefit

Products and services

• Everyday Account (Wadiah) Daily Shariah-compliant transaction account for individual customers based on the Wadiah principle. Provides a Visa Debit card for tap-and-go payments, Apple Pay and Google Pay support, instant transaction notifications, a mobile app for card lock/unlock and transaction viewing, and fee-free UK bank transfers. Designed for Australian Muslims and ethically-minded consumers who need an interest-free everyday account.
• Term Deposits (Wakala) Shariah-compliant term deposit accounts built on the Wakala principle, distributing profit share rather than interest across terms ranging from 1 to 12 months. Expected profit rates are estimated at the start of each term, and funds are not invested in haram industries. Designed for customers seeking ethical, non-interest-based savings growth.
• Home Finance (Ijarah) Shariah-compliant home purchase financing based on the Ijarah principle, enabling customers to progressively buy shares of a property over time while paying rent rather than interest. Competitive rental rates aimed at parity with major Australian banks, with manager assistance throughout the process. Available across Australia.
• Business Accounts Shariah-compliant business banking accounts for Australian small businesses, providing transaction and deposit services aligned with Islamic finance principles. Full feature specifications are forthcoming as the bank approaches launch.

Segments2 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration5 records

Feature3 records

Scale indicators2 records

Recent moves5 records

Expansion highlights5 records

Direct peers

• Al Rayan Bank: UK-based Shariah-compliant retail bank offering savings, term deposits, and home finance under Islamic principles. Closely comparable to IBA as a full-service Islamic retail bank targeting a Western, minority-Muslim market, providing a direct comparable for product design and unit economics.
• Gatehouse Bank: UK Shariah-compliant bank offering savings and home finance products (including Ijarah-style property finance). Directly comparable to IBA in product set, customer type, and Western-market positioning, and a useful benchmark for the home finance economics IBA is targeting.
• Bank of London and the Middle East (BLME): UK-headquartered Shariah-compliant bank offering savings, treasury, and property finance. Comparable to IBA as a regulated Islamic bank operating in a non-Muslim-majority Western market, providing a useful analogue for licensing, deposit-gathering, and product strategy.

Broad incumbents

• HSBC Amanah: Global Islamic banking arm of HSBC offering Shariah-compliant deposits, financing, and investment products worldwide. Comparable to IBA on product structure but operates as part of a global incumbent with materially larger capital, distribution, and regulatory resources.
• Standard Chartered Saadiq: Islamic banking window of Standard Chartered offering Shariah-compliant personal and business banking across multiple markets. Comparable in product set but is a global incumbent's branded offering rather than a stand-alone Islamic bank.

Regional players

• Dubai Islamic Bank: Largest Islamic bank in the UAE offering retail, SME, and home finance on Shariah principles. Comparable on contract structures (including Ijarah) and product breadth, though it operates in a Muslim-majority market rather than a Western minority market like Australia.
• Abu Dhabi Islamic Bank (ADIB): Major UAE Islamic bank with full retail, business, and home finance product suite under Shariah principles. Comparable product-by-product to IBA, though geographically focused on the UAE and a much larger institution.
• Bank Islam Malaysia: Malaysia's first Islamic bank, offering retail deposits, financing, and business banking under Shariah principles. Comparable in product breadth and Islamic contract usage, though serving a Muslim-majority Asian market rather than Australia's minority segment.
• Qatar Islamic Bank (QIB): Qatar's leading Islamic bank offering full retail and corporate Shariah-compliant banking. Comparable in product scope and Islamic finance principles, though serving a Gulf/Muslim-majority customer base rather than a Western market.

Emerging players

• Triodos Bank: European values-based bank focused on ethical and sustainable finance. Comparable to IBA's positioning toward ethically-minded consumers (a secondary segment for IBA), though it is not Shariah-compliant and operates across multiple European geographies.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat3 records

Key risks6 records

Key highlights6 records

Customer concentration

• Xx.com/islamicbankaust
• YouTubeyoutube.com/@islamicmoneyaustralia
• Facebookfacebook.com/islamicbankaustralia
• LinkedInlinkedin.com/company/islamicbankaustralia
• Instagraminstagram.com/islamicmoneyaustralia
• TikToktiktok.com/@islamicmoneyaustralia

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds1 record

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Islamic Bank Australia