AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Lahore: The Bank of Punjab (BOP) has reported a significant 42% year-on-year increase in its unconsolidated profits for the first nine months of the current financial year, reaching PkR11.9 billion, according to an analyst briefing held today. The rise in profits has been attributed to the removal of the Minimum Deposit Rate (MDR) on corporate and public sector deposits, which has also driven a 91% increase in net interest income.
Despite the strong growth in net interest income, BOP saw a 4% decline in non-interest income, though fee and commission income rose by 31%. The bank’s management revealed that half of its total deposits are from the public sector, with overall deposits increasing by 10% since December 2024 to PkR1.9 trillion. Of these, current deposits account for 21%, and the bank aims to raise this to 33% to align with industry standards.
The savings deposits stand at PkR724 billion, resulting in a Current Account Savings Account (CASA) ratio of 59%, down from 61% in December 2024. The bank continues to navigate MDR regulations, which affect half of its savings deposits.
The briefing was part of BOP’s ongoing efforts to keep stakeholders informed of its financial performance and future plans in a shifting regulatory landscape.