Karachi: The Pakistan Banks' Association (PBA) has lauded the nation's banking sector for its impressive performance, spotlighting seven Pakistani banks that have been ranked among the top 15 Asia-Pacific banks by S&P Global Market Intelligence for 2025. This achievement not only underscores the sector's institutional success but also highlights the gains for small investors, who hold over 1.5 billion shares at the Pakistan Stock Exchange (PSX).
Muneer Kamal, CEO and Secretary General of the PBA, emphasized that the rally in share volumes signifies a broad-based benefit reaching the grassroots of the capital market. United Bank Limited (UBL) led the industry with the highest market capitalization, exemplifying a balance of stability and agile returns.
Public sector banks showcased notable performance, with The Bank of Punjab leading the Asia-Pacific ranking in total percentage return, followed by the National Bank of Pakistan and The Bank of Khyber. These results reflect effective governance and strategic oversight by the Government and the State Bank of Pakistan.
Bank Makramah and Askari Bank also made significant strides, indicating a rejuvenation of their shareholder base. In the realm of Islamic banking, Faysal Bank set a new standard for returns, demonstrating the robustness of the Shariah-compliant banking model.
Mr. Kamal noted the rarity of banks generating such widespread shareholder value while also positively impacting the economy. Recent industry data showed a sharp rise in private sector credit, growing by Rs. 1.1 trillion in FY25, a stark contrast to Rs. 470 billion in FY24.
The growth in credit has been inclusive, with a 57% increase in the SME borrower base over two years, and the agricultural sector saw a rebound with a borrower base nearing 3 million, alongside record disbursements of PKR 2.58 trillion.
Despite the robust performance, some media reports inaccurately cited a decline in private sector credit. Contrary to these reports, the sector credit expanded by Rs. 654 billion in the first half of FY26. The private sector loan book grew by 6.75% during this period, with banks supporting substantial government borrowing of Rs. 1.95 trillion, reinforcing their role as a vital economic support engine.
The PBA remains committed to enhancing value for the people of Pakistan, aiming to reward small investors and expand financial inclusion to ensure nationwide economic benefits.