Despite the country's large Muslim population, Islamic banking has made relatively little progress in Nigeria to date. The banking system comprises 27 commercial banks1, including 24 conventional banks (of which two have Islamic windows) and three fully fledged Islamic banks (known as “noninterest financial institutions” in Nigeria). The Islamic banking sector accounted for a low 0.8% of total Nigerian banking assets as of the end of 2021. Nigeria's Muslim population accounts for around 54% of the overall population.