Standard Chartered Bank Pakistan Limited (SCBPL) has posted a record profit of PKR 36.4 billion this year. This shows an increase of 98% over the previous year’s profits. According to the official statement released by the bank, its profits were reaped mostly on the back of strong income growth as well as cost and risk discipline.

The bank’s revenues grew by 70% to reach the mark of PKR 45.1 billion. It was augmented by contributions from all segments. The operating expenses saw a growth of only 12% over the previous period despite inflation and infrastructure investments. A net release of PKR 1.5 billion was made possible because of reversal of Covid-19 provisions, as compared to the net release of PKR 0.8 billion in loan impairments of the last year.

Diversification of the product base has allowed the bank to service its clients more effectively. The bank’s total deposits grew by PKR 108.0 billion (up 17%), whereas current and saving accounts increased by PKR 119.0 billion (up 21%) since the start of this year and comprise 95% of the deposit base. Advances from the bank declined marginally since the start of this year and the bank continues to monitor the portfolio in the prevailing economic environment as part of its strategy to build a profitable, efficient, and sustainable business.

According to the statement issued by the bank and received by WealthPK, the bank is “fully committed to servicing the clients by introducing new and innovative products. The bank takes the growth of Pakistan as seriously as its own growth. The global network differentiates the bank for its clients, bringing forth innovative solutions, product specialisation and structured offshore offerings. The bank has been a long-time contributor to State Bank’s initiatives and it will continue to be a maximum contributor in the future. The bank is making its services more easily available to the people in line with State Bank’s policy of financial inclusion. Digitization is continuing apace in the bank’s infrastructure and the bank remains committed to reaching out to more clients across the country and offering them the convenience of its services.”

“Green finance, digital solutions, and an integrated ecosystem will remain at the center of the bank’s growth strategy. The bank is committed to ending inequality under its ‘Future-makers by Standard Chartered’ initiative. Inclusion of youth and women in the success story of the bank remains unchanged. The bank has also contributed significantly to the flood relief efforts of the government to help the people affected by the recent floods,” read the statement.

Chief Executive Officer of SCBPL Rehan Shaikh said that its strong performance show that the bank is built on strong foundations. “We are continually working to increase the productivity of our colleagues and staff. The results of the first three quarters would not have been possible without the trust of our clients in our services. They continue to trust us and we continue to deliver. All credit for the bank’s success goes to our associates, colleagues and staff who have worked tirelessly to deliver the success.”

“We are investing heavily in our staff and workers, giving our colleagues the skills they need to succeed, bringing in expertise in critical areas and evolving a more innovative and agile operating model, as we strive to drive innovation and increase our operational efficiency further. This operational leverage allows us to create capacity to invest in many exciting and potentially transformational initiatives as the bank’s pivot to digital continues,” he added.

“With a strong Return on Equity (ROE) of 23.5% for the period and a Capital Adequacy Ratio (CAR) of 17.7%, SCBPL remains well positioned for future growth,” he concluded.

Credit: Independent News Pakistan-WealthPk