Pakistani banks write off $1.187B in loans

Pakistan's public and private banks and development finance institutions had written off loans amounting to Rs112.305 billion or US$1.187 billion over the past four years.

This was announced by the government of Pakistan at the National Assembly.

According to a written answer submitted in the house, the number of beneficiaries was 1,434.

Although the question was not taken up for discussion because of absence of Finance Minister Dr Hafeez Sheikh, information placed before the house revealed the details of loans written off by banks and DFIs.

The finance minister said irrecoverable loans had been written off by banks and DFIs in accordance with their duly approved policies by their board of directors.

The United Bank Limited proved to be the most generous in writing off its loans as it topped the list with Rs28.26 billion in 284 cases, followed by Habib Bank with Rs16.8 billion in 233 cases, Muslim Commercial Bank with Rs16.33 billion and Samba Bank with Rs12.6 billion.

The Allied Bank wrote off Rs7 billion loans in 104 cases.The National Bank benefited 137 account holders by writing off loans of Rs10 billion.

Others banks and DFIs which wrote off loans were Askari Bank with Rs2.3 billion, HSBC Middle East with Rs4.9 billion, Kasab Bank with Rs4.4 billion, ZTBL with Rs3.3 billion, Silk Bank with Rs2.12 billion, Standard Chartered with Rs1.5 billion, NIB with Rs1.1 billion, Alfalah Bank with Rs161 million, Bank of Khyber with Rs1 billion, Bank of Punjab with Rs325 million, City Bank with Rs503 million, Faisal Bank with Rs268 million, SME Bank with Rs717 million, Suneri Bank with Rs243 million, Summit Bank with Rs480 million, Pak-Kuwait Investment Bank with Rs38 million, Pak-Libya Holding Co with Rs84 million and Saudi-Pak Industrial and Investment Bank with Rs66 million.

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