KARACHI – Pakistan’s banking sector delivered stunning performance, surpassing all previous records with highest-ever half-year profits in history.
Arif Habib Limited shared report showing that banks listed on Stock Exchange raked in staggering Rs326 billion ($1.16 billion) in net profit during the first six months of 2025, which equates to around 20pc surge compared to last year. The second quarter alone saw profits rocket to Rs160 billion, marking a 23% jump year-on-year.
Net Interest Income crossed Rs1 trillion milestone, climbing 22% YoY. In just April–June, banks earned Rs510 billion through interest income, proving the sector’s unstoppable momentum. Non-markup income also played its part, rising 7% to Rs255 billion in the half year.
Sector’s shares exploded with a 70% return year-to-date, leaving the KSE-100’s 27% rally in the dust. NBP stole the show with a massive 148% stock price surge, followed by UBL (+111%) and AKBL (+105%).
UBL stunned with 32pc growth in deposits to Rs4.3 trillion, HBL maintained dominance with the country’s largest base at Rs5.2 trillion. Meanwhile, the Bank of Punjab thrilled investors with its first-ever dividend of Rs1 per share, and Askari Bank shocked the market by declaring a payout after more than a decade.
As HBL, UBL moved up, Islamic banks faced turbulence, with profits plunging 13% YoY to Rs57 billion, hit by rate cuts and regulatory changes.
Big Win for the Government: The sector also filled state coffers, paying Rs394 billion in taxes, a sharp 44% increase thanks to a higher effective tax rate.
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