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National Bank of Pakistan (NBP) is the only bank amongst the top-five banks which has not shied away from lending to the private sector of late. Its relatively higher ADR, of over 60 percent as per latest available numbers, is a testament to that. So, while its peers got criticised for lazy and complacent banking, NBP was lauded for doing what banks are supposed to do: lend.
Bank Alfalah Limited (BAFL) ended CY13 on a bright note, registering a slight increase in profit over previous year. The challenging operating environment, coupled with low interest rate scenario during much of CY13, kept the top line in check.
What is all that fuss about low discount rates and pegging of discount rate with the return on deposits? Meezan Bank (MEBL) certainly seems to be unfazed by all this. By virtue of being Shariah-compliant, the leading Islamic bank does not have to worry about return on deposits being pegged with discount rates.
A delay is not a good thing. The SBP’s first quarterly review for the Jul-Sep period was released last Friday. The late release of this otherwise sound document meant that there was little in the content that wasn’t already known. Still, the report carries valuable advice for the federal government.
The practice of publishing economic perception surveys and indices has lately picked up in Pakistan. The OICCI has its business confidence and investment surveys; the SBP has its consumer confidence indices; whereas other members of the economics community such as the SDPI also conduct different surveys from time to time.
As is said, there are always two sides to every story. The shift in the onus of budgetary borrowing between commercial banks and the central bank also has its pros and cons.
What could be better than half year earnings surpassing the total earnings of the entire yesteryear! Though expectations were already optimistic, the oil market leader’s performance for the first six months of FY14 was astounding for many amid rupee depreciation and fears of a buildup in circular debt.