JCR-VIS Credit Rating Company Limited has maintained the entity of BB+ (Double B plus/A-Three) assigned to The Punjab Provincial Co-operative Bank Limited (PPCBL). However, ratings have been placed on "Rating Watch" in view of non-compliance of minimum paid-up capital requirement and the uncertainty regarding the future course of the bank.
PPCBL is registered under the Co-operative Securities Act, 1925 and has been operating as a specialised scheduled bank since 1955. Its shareholders are farmers, members of co-operative societies. The bank is short of the level mandated by the SBP. The bank has been exempted from meeting the minimum capital requirement on previous occasions.
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