The National Bank of Pakistan (NBP) has delivered one of its strongest financial performances in recent years, posting a significant rise in income and profitability for the first half of 2025. According to the interim financial statements approved by its Board of Directors, NBP’s total income reached PKR 157.1 billion, a growth of 58% compared to PKR 99.2 billion in the corresponding period last year. This performance highlights the bank’s ability to adapt to evolving market dynamics while sustaining momentum across core business segments.
Despite a challenging interest rate environment, gross interest income for the period stood at PKR 411 billion, down from PKR 566 billion in the same period last year. However, a sharp reduction in the cost of funds by 43% year-on-year to PKR 280.3 billion enabled net interest income to surge to PKR 130.6 billion, reflecting an impressive 76% increase. This improvement underscored the bank’s focus on cost efficiency and balance sheet optimisation.
NBP also benefitted from favorable market conditions, recording capital gains of PKR 5.3 billion and driving total non-fund income to PKR 26.6 billion, up 6.3% year-on-year. Fee and commission income rose by 22.3% to PKR 14.7 billion, supported by continued strength in branch banking services, while dividend income edged higher to PKR 3.1 billion compared to PKR 3.0 billion last year.
On the expense side, operating costs rose to PKR 59.1 billion, a 15.2% increase that reflected both inflationary pressures and ongoing investments in digital infrastructure. In line with prudent risk management practices, NBP booked a net credit loss allowance of PKR 4.8 billion, primarily against loans and advances. Even with these provisions, profit before tax surged to PKR 93.2 billion from just PKR 0.6 billion in the same period of 2024. Profit after tax stood at PKR 43.5 billion, positioning NBP among the most profitable banks in the country.
On the balance sheet side, NBP’s total assets rose 7.1% year-to-date to PKR 7.2 trillion, while investments increased 9.4% to PKR 4.9 trillion. Gross advances contracted by 5.5% to PKR 1.58 trillion, reflecting a cautious lending approach. Deposits remained strong at PKR 4.7 trillion, supported by a healthy CASA ratio of 82.9%. Liquidity and capital positions also remained robust, with Liquidity Coverage Ratio at 216%, Net Stable Funding Ratio at 211%, and Capital Adequacy Ratio at 27.28%.
Reflecting confidence in its strong position, NBP announced a dividend of PKR 8.0 per share, resuming shareholder payouts and reinforcing its commitment to long-term value creation. Investors have responded positively, with the bank’s market capitalisation climbing to PKR 310 billion, an increase of 230% since mid-2024. Earlier this month, NBP crossed the milestone of US$ 1 billion in market value, becoming one of only five banks on the Pakistan Stock Exchange to join the billion-dollar club.
NBP’s leadership in Islamic banking has also expanded, with Aitemaad Islamic Banking assets rising 35% year-on-year to PKR 448 billion. The launch of products such as the NBP Aitemaad Advance Salary and the Amirah PayPak Pink Debit Card — Pakistan’s first women-focused PayPak debit card — highlighted the bank’s commitment to product innovation, inclusion, and empowerment.
President and CEO Rehmat Ali Hasnie praised the performance, crediting the dedication of employees and the bank’s transformation strategy centered on digitalization, financial inclusion, and customer-centric innovation. He reiterated that NBP remains committed to enhancing service quality, advancing its ESG agenda, and maintaining its role as a systemically important institution.
Founded in 1949, NBP has consistently played a pivotal role in driving financial inclusion and supporting national development. With strong financial resilience, renewed investor confidence, and a clear strategic vision, the bank continues to strengthen its position as a cornerstone of Pakistan’s financial sector.
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