AIRLINK 180.31 Increased By ▲ 0.21 (0.12%)
BOP 11.40 Decreased By ▼ -1.69 (-12.91%)
CNERGY 7.47 Decreased By ▼ -0.01 (-0.13%)
FCCL 45.30 Increased By ▲ 0.12 (0.27%)
FFL 16.40 Increased By ▲ 0.34 (2.12%)
FLYNG 27.54 Increased By ▲ 0.11 (0.4%)
HUBC 132.70 Decreased By ▼ -0.54 (-0.41%)
HUMNL 13.05 Increased By ▲ 0.03 (0.23%)
KEL 4.51 Increased By ▲ 0.06 (1.35%)
KOSM 6.01 Increased By ▲ 0.04 (0.67%)
MLCF 59.20 Increased By ▲ 0.39 (0.66%)
OGDC 218.80 Increased By ▲ 0.21 (0.1%)
PACE 5.87 No Change ▼ 0.00 (0%)
PAEL 43.73 Increased By ▲ 1.11 (2.6%)
PIAHCLA 16.72 Increased By ▲ 0.22 (1.33%)
PIBTL 9.85 Decreased By ▼ -0.07 (-0.71%)
POWER 12.04 Increased By ▲ 0.09 (0.75%)
PPL 183.75 Increased By ▲ 0.67 (0.37%)
PRL 35.30 Decreased By ▼ -0.03 (-0.08%)
PTC 24.40 Increased By ▲ 0.06 (0.25%)
SEARL 96.50 Increased By ▲ 0.68 (0.71%)
SILK 1.16 Increased By ▲ 0.01 (0.87%)
SSGC 37.32 Increased By ▲ 0.01 (0.03%)
SYM 16.15 Increased By ▲ 0.07 (0.44%)
TELE 7.99 Increased By ▲ 0.11 (1.4%)
TPLP 10.95 Increased By ▲ 0.11 (1.01%)
TRG 61.25 Increased By ▲ 0.31 (0.51%)
WAVESAPP 10.90 Increased By ▲ 0.11 (1.02%)
WTL 1.34 Increased By ▲ 0.01 (0.75%)
YOUW 3.80 Increased By ▲ 0.03 (0.8%)
BR100 12,317 Increased By 102.3 (0.84%)
BR30 37,580 Increased By 140.4 (0.37%)
KSE100 115,947 Increased By 410.4 (0.36%)
KSE30 35,762 Increased By 104.3 (0.29%)

imageKARACHI: Substantial improvement has been observed in the banking sector during July-September quarter of 2014. The profit (before tax) reached historically high level of Rs 176 billion as of end September, 2014 showing 44 percent increase over the end September, 2013.

Similarly, the return on assets (ROA) and return on equity (ROE) inched up to 1.4 percent and 15.9 percent respectively up from 1.1 percent and 12.3 percent a year earlier.

The quarterly banking sector statistics for the quarter ended September, 2014, released by the State Bank of Pakistan today, indicate that Capital Adequacy Ratio (CAR) of the banking system improved to 15.5 percent in September, 2014 compared to 15.1 percent a quarter earlier largely on the back of healthy profits.

The CAR at its existing level is well above the minimum ratio of 10 percent set by the SBP, despite implementation of strict Basel-III capital standard. Encouragingly, the stress test results also show that capital base of the system is strong enough to withstand unusual shocks due to credit, market and liquidity risks.

The indicators of asset quality of the banking sector, with marginal changes, also reflect stability. Non-Performing Loans (NPLs) to Loan ratio net of provisions at 3.2 percent in September, 2014 is far below its peak of 6.4 percent in September, 2011.

Copyright PPI (Pakistan Press International), 2014

Comments

Comments are closed.