Pashtany Bank

What Pashtany Bank does

Pashtany Bank (پښتني بانک) is Afghanistan's state-owned commercial bank, established in 1954 with an initial capital of Afs 120 million and 22 staff, and licensed by Da Afghanistan Bank (the central bank) to operate nationwide under Shariah-compliant Islamic banking principles. The bank operates an extensive physical distribution network including its Mohammad Jan Khan Watt headquarters in Kabul, at least 18 urban branches, provincial branches across nine provinces, border branches at Hairatan and Torghundi, three historical foreign branches in Pakistan (Peshawar, Chaman, Karachi), and an ATM network of 10+ locations, complemented by over 50 correspondent banking relationships globally.

The product portfolio spans Islamic financing and deposit instruments (Murabaha cost-plus sale financing, Mudarabah profit-sharing investment accounts, Ijara leasing, Musharakah partnership financing, Wadiah/Qard current accounts, Kafalah guarantees) and digital channels (24/7 online banking platform, M-Paisa mobile wallet via USSD/SMS in Dari/Pashto/English, SMS alerts, debit cards). International money transfers are enabled through SWIFT (USD/EUR) and Western Union (145+ countries), while domestic infrastructure supports payroll solutions for government ministries, universities, and corporate clients. Core banking runs on a Core Banking System (CBS) for account management, transaction processing, and branch operations; an EFT Switch procurement tender was issued in February 2026 to modernize electronic fund transfer capability.

The revenue model is transaction-fee driven on financing and trade services, with subscription/recurring economics on Mudarabah investment accounts. Customer segments are retail, business/corporate, government, and an elite/priority banking tier. Pricing is not publicly disclosed; Murabaha profit rates are indicative and contract-based. As a state-owned institution, Pashtany Bank functions as both a commercial operator and an instrument of government financial policy, with the Ministry of Finance and Da Afghanistan Bank identified as core stakeholders. In 2019, the bank was recognized by International Finance as the Most Innovative Bank of Afghanistan.

Name

Pashtany Bank

Legal name

Pashtany Bank

Website

https://pashtanybank.com.af

Company type

Private

Founded year

1954

Operating status

Operating

Headcount range

251–500 employees

Short description

Pashtany Bank is Afghanistan's state-owned Islamic commercial bank, founded in 1954, operating nationwide with 30+ branches, correspondent banking, and Shariah-compliant products including Murabaha, Mudarabah, Ijara, and M-Paisa mobile wallet serving retail, corporate, and government customers.

Ownership category

akta.pro rank

Product category

Islamic Commercial Banking

NAICS

Commercial Banking (522110), Depository Credit Intermediation (5221)

SIC

State Commercial Banks (6022)

akta.pro primary industry

Islamic SME & Commercial Banking (FSABAGAB)

akta.pro secondary industries

Islamic Corporate Banking (FSABAGAC), Islamic Trade Finance & Supply Chain (Shariah-compliant) (FSABAGAE), Islamic Deposit & Account Products (Current/Savings/Investment Accounts) (FSABAGAI), Shariah-compliant Financing Products (Murabaha, Ijara, Tawarruq, Istisna, Salam) (FSABAGAH)

Keywords

• Islamic commercial banking
• Shariah-compliant finance
• Trade finance services
• International money transfers
• Mobile wallet payments

Headquarters

HQ city

Kabul

HQ country

Afghanistan

HQ region

Asia

Offices12 records

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

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

Revenue model

1. Murabaha Financing: Cost-plus sale financing where the bank purchases goods and resells to customers at cost plus agreed profit in installments. Used for trade, retail, and import financing via letters of credit.
2. Mudarabah Investment Accounts: Profit-sharing investment accounts where customers (rab-ul-mal) provide capital and the bank (mudarib) invests in halal activities. Profits distributed per agreed ratio; losses borne by investors except in cases of negligence.
3. Trade Finance (Murabaha LC): Import financing through letters of credit based on murabaha. Bank acquires goods from supplier and sells to customer at cost plus profit upon delivery/transfer.
4. Ijara (Leasing): Bank purchases assets and leases them to customers for agreed rental periods. Ownership remains with bank; option to transfer at end through separate sale.
5. Musharakah (Partnership Financing): Joint venture financing where bank and customer co-invest. Profits shared per agreed ratio; losses per capital contribution. Used for project financing, working capital, real estate, and home financing.
6. Wadiah/Qard Current Accounts: Interest-free current accounts based on wadiah (custodianship) and qard (loan) principles. Fees charged per fee schedule, transparent and Shariah-compliant.
7. ATM and Card Services: Debit card issuance and ATM services for cash withdrawal, balance inquiry, and other banking transactions across the ATM network.
8. Western Union Money Transfers: International money transfer services through Western Union network with commission fees.
9. SMS Banking Services: SMS alerts and banking notifications with associated service fees.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels7 records

Core offering

Pashtany Bank is Afghanistan's state-owned Islamic commercial bank that provides a full suite of Shariah-compliant banking products and services including Mudarabah investment accounts, Murabaha cost-plus financing, Ijara leasing, Musharakah partnership financing, current accounts (Wadiah/Qard), trade finance via Murabaha letters of credit, payroll solutions, Kafalah guarantees, and priority banking. Services are delivered through a nationwide branch network, online and mobile banking (M-Paisa), an ATM network, SMS banking, and SWIFT and Western Union partnerships for international transfers.

Product overview

Pashtany Bank is an Islamic commercial bank established in 1954, operating under Da Afghanistan Bank (Central Bank) with commercial banking license nationwide. The bank offers a comprehensive suite of Sharia-compliant banking products and services organized into Personal Banking (Current Accounts, Mudarabah Investment, Murabaha Financing, Ijara, Musharakah), Digital Banking (Online Banking, M-Paisa Mobile Wallet, SMS Banking, ATM & Debit Cards), Business & Corporate Banking (Payroll Solutions, Business Accounts, Islamic Guarantees, Trade Finance), Transfers & Payments (Domestic Transfers, SWIFT International, Western Union), and Elite Banking (Wealth Management, Priority Services, Shariah-Compliant Accounts). The bank operates an ATM network across major cities and maintains correspondent banking relations globally.

Differentiator

Problem solved

Functional benefit

Products and services

• M-Paisa Mobile Wallet (ام-پیسه) Mobile wallet service enabling person-to-person money transfers, micro-loans, airtime purchases, bill payments, and salary disbursements via mobile phones using SMS or voice systems, accessible in Dari, Pashto, and English.

Quantifiable outcome

• Awarded Best Innovative Banking Products and Services in Afghanistan by International Finance 2019

Named customers4 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature6 records

Partnerships

Eleven partnerships are on record, tiered core and minor.

• Western UnioncoreChannel Partner/ Reseller/ Distributor · 10 February 2026Pashtany Bank offers Western Union money transfer services enabling fast and secure international money transfers to and from over 145 countries worldwide. No bank account required for recipients.
• Afghanistan Banks Association (ABA)minorStrategic or Co-development PartnerMember of the Afghanistan Banks Association, the industry body for banking sector coordination and standards in Afghanistan.
• Bank-e-Mille Afghan (BMA)minorStrategic or Co-development PartnerLocal partner bank for banking services coordination within Afghanistan's banking ecosystem.
• Afghan Red Crescent SocietyminorStrategic or Co-development PartnerHumanitarian partner organization for social responsibility and community engagement.
• Ministry of Finance (Afghanistan)coreOthersGovernment ministry overseeing financial regulations and banking sector oversight; key stakeholder for state-owned banking operations.
• Afghanistan Chamber of Commerce & Industry (ACCI)minorStrategic or Co-development PartnerPartner for trade promotion and business development services for commercial banking customers.
• Ministry of Labor & Social Affairs (MOLSA)minorOthersGovernment ministry for employment and social affairs coordination.
• Ministry of Industry and Commerce (MOCI)minorOthersGovernment ministry for trade and commerce regulation affecting business banking services.
• Da Afghanistan Bank (Central Bank)coreOthersCentral Bank of Afghanistan - regulatory authority that issued Pashtany Bank's commercial banking license and oversees all banking operations nationwide.
• Traffic General DepartmentminorStrategic or Co-development PartnerPartnership for toll collection services at Traffic Department facilities in Kabul, with bank counter established inside the department.
• Statistics and Information AuthorityminorStrategic or Co-development PartnerCooperation agreement signed for administrative coordination, financial transparency, and strengthening modern banking services.

Scale indicators7 records

Recent moves9 records

Expansion highlights6 records

Direct peers

• Maiwand Bank: Afghan commercial bank providing retail, corporate, and trade finance products across provincial branches. Comparable to Pashtany in scope and target customer base within the Afghan market.
• Bank-e-Millie Afghan: Afghanistan's other major state-owned commercial bank, providing full-service retail, corporate, and Islamic banking nationwide. Directly comparable to Pashtany as both operate under the same Da Afghanistan Bank license framework with overlapping product portfolios.
• Azizi Bank: Afghan commercial bank offering retail, corporate, and trade finance with a multi-province branch network. Comparable to Pashtany as a domestic competitor targeting similar customer segments across Afghanistan.
• Afghanistan International Bank (AIB): Largest private commercial bank in Afghanistan offering retail, corporate, and trade finance with international shareholding. Comparable to Pashtany on product breadth and nationwide branch presence, though with a different ownership profile.
• New Kabul Bank: Afghan commercial bank with nationwide retail and SME banking operations following its predecessor's restructuring. Directly comparable as a domestic full-service bank competing for similar deposits and corporate accounts.

Emerging players

• First MicroFinance Bank Afghanistan (FMFB-AFG): Microfinance institution licensed as a bank, focused on financial inclusion and micro-lending across Afghanistan. Comparable as a deposit-taking, lending institution pursuing underserved segments that overlap with Pashtany's retail/M-Paisa strategy.

Broad incumbents

• Al Rajhi Bank: Largest Islamic bank globally with comprehensive retail, corporate, and treasury services across the Middle East. Comparable as a benchmark for Islamic product innovation and scale that Pashtany's Islamic franchise aspires toward.
• Kuwait Finance House: Pioneer Islamic bank offering retail, corporate, investment, and trade finance across multiple geographies. Comparable as a reference point for the Shariah-compliant product architecture Pashtany has adopted across Murabaha, Ijara, and Musharakah.
• Dubai Islamic Bank: Established UAE Islamic bank with full Shariah product suite, trade finance, and correspondent relationships. Comparable as an Islamic banking incumbent whose corporate/trade finance operating model mirrors Pashtany's Murabaha LC business.

Regional players

• Meezan Bank: Pakistan's leading Islamic commercial bank offering full Shariah-compliant products and digital banking. Comparable to Pashtany on Islamic product structure and on cross-border trade/remittance flows given Pashtany's historical Pakistan branch presence.

Market position

Strengths5 records

Weaknesses4 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Xx.com/pashtanyb
• YouTubeyoutube.com/channel/UCTJKP5BpiuTSkt1ZlVDKIOw/videos
• Facebookfacebook.com/PashtanyBank-1684767848449900
• LinkedInlinkedin.com/company/pashtany-bank-pb

Revenue estimate

Valuation estimate

Number of profiles

Profiles2 records

Funding overview

Funding rounds

Investors

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 Pashtany Bank