Islamabad: Standard Chartered Bank (Pakistan) Limited declared an interim cash dividend of 35% (PKR 3.50/- per share) for the first half of 2025, despite a decrease in profit before tax to PKR 32.9 billion compared to PKR 49.3 billion in the same period of 2024.

The institution attributed the 24% drop in revenue to PKR 44.4 billion to significantly reduced interest rates. This decline was partially mitigated by increased non-funded income and lower cost of funds. Operating costs rose 13% due to inflationary pressures, infrastructure enhancements, and employee investment, resulting in a cost-to-income ratio of 27%. The bank saw a net release of PKR 0.6 billion from bad debt recoveries and a cautious risk strategy.

Total deposits decreased by 17% from the beginning of the year to PKR 697 billion, largely due to a deposit optimization strategy. This resulted in a higher proportion of current accounts, now representing 59% of the deposit portfolio, up from 48% in the previous year. Net advances increased by PKR 39 billion (23%) in the first half of 2025, suggesting growing economic activity.

Standard Chartered Pakistan highlighted investments in digital services and infrastructure aimed at improving customer experience. The financial institution emphasized its focus on strengthening its control and compliance framework. The company reaffirmed its dedication to sustainable expansion, client focus, and delivering top-tier services. With a Return on Equity (ROE) of 28.8% and a Capital Adequacy Ratio (CAR) of 21.5%, the organization expressed confidence in its future prospects.

Rehan Shaikh, CEO and Head of Coverage, acknowledged the challenging economic environment and emphasized the firm’s commitment to supporting clients and staff. He pointed to the organization’s solid balance sheet, diverse portfolio, and strong client connections as key strengths.

The company also highlighted its community initiatives, including the SC Women in Tech Programme, the Goal Accelerator Programme, and a continued partnership with Karachi United for the Seventh Youth League Football Tournament, showcasing its commitment to social responsibility.