Germany: Islamic banks and finance
Checked on October 12, 2026
Germany has no law specific to Islamic finance: providers are licensed and supervised by BaFin under the standard rules. KT Bank AG, a subsidiary of the Turkish lender Kuveyt Türk, is in 2026 the country’s only licensed Islamic bank, holding a full banking licence granted in March 2015 and running four branches. It offers accounts, participation savings and home, car and consumer finance based on murabaha and tawarruq, and its deposits are covered by the German deposit guarantee scheme. With up to seven million Muslims, the market is still described as a niche in 2026: there is no takaful insurer or other Islamic bank, and Albaraka’s insha app is no longer reachable.
The 2 providers
-
KT Bank AG
Islamic bank- Group
- Kuveyt Türk
- Since
- 2015
- Supervision
- BaFin
- Products
- Current account, Card, Savings, Home finance, Car finance, Personal finance, Business
Licensed by BaFin in March 2015, the bank has four branches in 2026, in Berlin, Frankfurt, Cologne and Munich.
-
insha
App or digital bank Activity to be confirmed- Group
- Albaraka Türk
- Since
- 2018
- Supervision
- BaFin
Launched in 2018 on solarisBank’s banking platform, the app no longer has a reachable website in October 2026 and no official closure announcement was found.
Before you commit
- Ask for the names of the Shariah board members and their published rulings on the product.
- Check that the provider is authorised by the country’s regulator.
- Compare the total cost, not just the monthly payment: the calculators in this section can help.
- Read the contract: who owns the property, who bears the risk, late-payment charges and where they go.