NBP records pre-tax profit of PKR 33.9b, 21% up YoY


33% growth in assets to achieve PKR 5tr milestone


The Board of Directors of National Bank of Pakistan “NBP” “the Bank” met yesterday to approve the condensed interim financial statements for the six months period ended June 30, 2022.

With volumetric growth in average earning assets coupled with positive rate variance, NBP recorded 66% growth in gross interest income that reached PKR 179.4 Bn as against PKR 108.0 Bn for the same period last year. In the increasing interest rate scenario, cost of funds for the period amounted to PKR 126.3 Bn. Accordingly, net interest income closed at PKR 53.1 Bn, depicting a 12.0% increase YoY.

Despite the challenging business environment and lacklustre performance of the stock market the Bank generated total non-fund income amounting to PKR 18.4 Bn which is 2% higher YoY. Equity investment of the Bank generated divided income of PKR 1.9 Bn, 33% higher YoY. Fee & commission income earned through branch banking operations stood at PKR 10.2 Bn i.e. 16% higher YoY and reflective of the Bank’s widespread market outreach.

As the Bank provides FX solution to large number of companies, its forex income for the period amounted to PKR 4.3 Bn which is 61% higher YoY. Consequently, total income amounted to PKR 71.5 Bn which is PKR 6.0 Bn or 9.2% higher, YoY.

Reflecting the inflationary pressures and investment into its IT systems & infrastructure, operating expenses for the period amounted to PKR 35.8 Bn. NPLs increased marginally by 2.7% to reach PKR 203.3 Bn. As the Bank is pursuing a prudent assets growth strategy, NPL ratio that stood at 15.6% in Jun’21 improved to 14.9% in Jun’22.

Positively, provision charge for the period amounted to PKR 1.7 Bn only i.e. PKR 5.0 Bn or 74% lower than PKR 6.8 Bn for H1’21. In line with the SBP guidelines, NBP maintains adequate


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