Private Commercial Banks on KSE - 1994

Article excerpt

There are 11 commercial banks on the list of Karachi Stock Exchange in 1994. Two Banks namely Habib Credit & Exchange and Mehran Bank were merged with Habib Bank Limited and National Bank Limited respectively during the year 1994, while 3 newbanks namely Faysal, Platinum and Prudential Commercial Bank were listed on KSE during current year. The total Paid-up Capital of these Banks is Rs. 4,817.66 million, while free reserves and surplus stood at Rs. 3,684.54 million. General Break-up Value per Rs. 10/-worked out to Rs. 17.65. The respective Break-up Value of shares in descending order were as follows:

Break-up Value Per Rs. 10/-

1994 1993

Bank of Punjab 29.11 28.51 M.C.B. 21.98 28.28 Bank Al-Habib 17.60 14.04 Soneri Bank 16.72 13.91 Prime Commercial 16.70 13.39 Askari Bank 16.00 12.77 Union Bank 15.62 13.55 Metropolitan Bank 14.98 12.30 Bolan 11.80 11.19 Indus Bank 11.38 10.75 Schon Bank 10.53 -

It will be seen from the above table that almost all the banks have shown an upward trend in their Break-up Value except MCB during the year 1994. The Break-up Value of MCB decreased to Rs.21.98 as compared to Rs.28.28 in 1993 mainly due to increase in its Paid-up capital from Rs.662.52 million to Rs.1117.99 million during the year under review due to issuance of bonus share at the rate of 1:2 in 1993.

The deposits of local commercial banks on KSE stood at Rs.123,375 million, while advances showed a balance of Rs.64,498.86 million during the year under review. The deposits and advances of these banks in descending order have been illustrated in the table-I:-

TABLE I

Deposits and Advances - 1994
                                           (Rs. in million)
Name of Bank        Branches   Deposits        Advances

Muslim Commercial    1,306     81,452.19       41,521.23
Bank of Punjab         237      9,402.83        2,978.20
Askari Bank             13      7,050.87        4,155.91
Union Bank              19      5,500.15        3,533.05
Bank Al-Habib           14      5,200.03        3,066.66
Prime Commercial        15      3,770.92        2,132.97
Soneri Bank             12      3,746.84        2,208.81
Metropolitan Bank        7      3,232.59        2,174.80
Bolan Bank              20      1,575.78          775.18
Schon Bank               6      1,461.40        1,245.15
Indus Bank              10        981.85          706.90

The highest increase of 68.96 per cent in deposits was recorded by Metropolitan Bank from Rs. 1913.22 million to Rs.3232.59 million during the year under review. The only bank which showed a downward trend in its deposits was indus Bank. Its deposits was decreased by 2.30 per cent from Rs.1004.99 million to Rs. 981.85 million in 1994. The following table illustrates the percentage-wise increase/ decrease in deposits as compared to previous year in table-II:-

TABLE II

                                               (%)
Name of Bank        1994        1993        Change

Muslim Commercial   81,452.19   62,782.74   + 29.74
Bank of Punjab       9,402,83    6,574.84   + 43.01
Askari Bank          7,050.87    4,608.72   + 52.99
Union Bank           5,500.15    3,514.36   + 56.51
Bank Al-Habib        5,200.03    3,372.31   + 54.20
Prime Commercial     3,770. …