The interest income of the Bank grew by 32% to Rs. 259.7 billion primarily due to the increase in AWPLR compared to the corresponding period of the previous year. However, interest expenses grew by 98% as the deposit mix has been re-priced at higher rates, resulting in high cost of funding and led to 65% decline in net interest income compared to H1-2022.

Net fee and commission income amounted to Rs. 8.7 billion with 11% growth mainly backed by increase in commission income from card related transactions and travel and remittance related services. Income from trading and investment activities and other operating income resulted in a negative note due to exchange loss reported during H1-2023 in line with the 15% rupee appreciation.

Operating expenses for the period reported an increase of 12% in the backdrop of cost escalation due to inflation. Accordingly, the Bank has reported the PBT of Rs. 10.5 billion with 52% decline over H1-2022. At the end of H1-2023, the Bank’s asset base recorded a negative growth of 7% reflecting the impact of rupee appreciation. Amidst the high competition prevailed in the market, the Bank’s deposit base stood at Rs. 3.4 trillion as of end June 2023