Karachi: On March 5, 2026, Standard Chartered Bank (Pakistan) Limited (SCBPL) released its Directors’ Report for the year ending December 31, 2025, highlighting both the challenges and growth prospects for the bank within the broader economic context of Pakistan.
The bank reported a decrease in profit after tax to PKR 28.78 million, down from PKR 46.07 million in 2024. This decline was accompanied by a reduction in revenue to PKR 80.55 million from the previous year’s PKR 118.17 million. The financial overview also showed a decrease in total equity to PKR 110.46 million from PKR 117.72 million and a decline in deposits to PKR 650.14 million from PKR 835.70 million. Despite these reductions, advances showed growth, with gross advances increasing to PKR 232.03 million from PKR 190.37 million.
Within the broader economic landscape, Pakistan’s GDP growth for fiscal year 2025 stood at 3.09%, attributed to prudent policy management and a stable macroeconomic environment. The first half of fiscal year 2026 has seen continued stabilization, with projected GDP growth ranging between 3.75% and 4.75%. According to information available from the Pakistan Stock Exchange (PSX), the country’s fiscal management achieved a fiscal surplus of 0.4% of GDP in the first half of fiscal year 2026, aided by a 9.5% growth in tax collection.
On the external front, Pakistan’s current account posted a deficit of USD 1.2 billion during the first half of fiscal year 2026, a shift from a USD 1.0 billion surplus in the previous period. The trade deficit widened due to increased imports and a decline in exports, despite a 10.6% rise in remittances. Foreign reserves showed improvement, increasing to USD 16.2 billion by the end of January 2026 from USD 14.5 billion at the start of the fiscal year.
Standard Chartered Bank’s strategic focus on network, affluent, emerging affluent, and sustainability has continued, with investments in digital capabilities and client engagement being key priorities. The bank’s commitment to sustainability, alongside its strategic pillars, underpins its operational strategy to enhance client experience and maintain competitive advantage.
The banking sector in Pakistan remains robust, with a capital adequacy ratio of 22.1% and an advances to deposit ratio of 35.6% as of the third quarter of 2025. The industry’s return on equity after tax was reported at 21.0%, while non-performing loans stood at 6.6%.
As Standard Chartered Bank (Pakistan) navigates the evolving economic landscape, its strategic initiatives and investment in technology and innovation are expected to support its long-term objectives of facilitating commerce and driving prosperity.