NON - PERFORMING LOANS (NPL)

S.M. ABBAS ZAIDI, S.KAMAL HAYDER KAZMI,
Research Analyst
, PAGE
July 20 - 26, 2009

NON-PERFORMING LOANS (DOMESTIC AND OVERSEAS OPERATIONS)
(RS MN)

 

AS OF 31-12-2008**

AS OF 31-03-2009*

BANKS/ DFIs

NPLs

NET NPLs

NET NPLs TO NET LOANS(%)

NPLs

NET NPLs

NET NPLs TO NET LOANS (%)

All Banks & DFIs 357,028 114,434 3.53 391,936 121,092 3.96
All Banks 345,305 111,075 3.47 379,259 116,688 3.86
All Commercial Banks 316,161 102,928 3.3 349,721 106,784 3.63
Public Sector Banks 101,959 40,776 7.15 107,887 37,477 6.86
Local Private Banks 211,199 61,977 2.53 238,209 68,628 2.99
Foreign Banks 3,003 175 0.17 3,624 679 0.7
Specialized Banks 29,145 8,147 10.2 29,538 9,904 12.04
DFIs 11,722 3,359 9.27 12,677 4,405 12.02
Various Sources


CASH RECOVERY AGAINST NON PERFORMING LOANS
(Rs mn)

BANKS/DFIs

FOR THE QUARTER (Oct-Dec-08)

FOR THE QUARTER
(Jan -Mar-09)

All Banks & DFIs 12,382 11,540
All Banks 12,049 11,184
All Commercial Banks 8,567 9,651
Public Sector Banks 1,971 2,130
Local Private Banks 6,477 7,347
Foreign Banks 119 175
Specialized Banks 3,482 1,533
DFIs 333 356
Various sources

TRENDS IN INFLATION (%)

YEARS

CPI

WPI

SPI

CORE INFLATION

GENERAL

FOOD

NON FOOD

GENERAL

FOOD

NON FOOD

NFNE

TRIMMED

ANNUAL AVERAGE
FY00 3.6 2.2 4.5 1.8 0.6 2.9      
FY01 4.4 3.6 5.0 6.2 3.0 9.1      
FY02 3.5 2.5 4.2 1.2 0.9 1.5      
FY03 3.1 2.8 3.3 5.6 3.5 7.1 3.8    
FY04 4.6 6.0 3.6 7.9 7.0 8.6 6.0 3.8 3.9
FY05 9.3 12.5 7.1 6.8 10.7 4.0 11.1 7.2 8.8
FY06 7.9 6.9 8.6 10.1 7.0 12.4 7.8 7.5 7.0
FY07 7.8 10.3 6.0 6.9 8.9 5.6 9.4 5.9 6.9
FY08 12.0 17.6 7.9 16.4 19.0 14.6 14.2 8.4 10.2
FY09 20.8 23.7 18.4 18.2 23.2 14.4 22.7 17.6 19.2
Various sources


SECTOR WISE NPL TO LOAN RATIO

SECTOR DEC-07 JUN-08 DEC-08
Corporate sector 7.14 7.58 8.88
Chemical & pharma 11.07 8.75 7.69
Agribusiness 17.86 13.57 8.85
Textile 10.74 12.62 14.60
Cement 3.54 8.01 6.55
Sugar 7.12 4.99 9.06
Shoes & leather garments 10.05 17.36 8.63
Auto & trans equipment 6.05 6.31 7.49
SMEs sector 9.25 11.22 15.79
Agriculture sector 18.68 16.55 15.77
Consumer sector 4.37 5.50 6.93
Credit cards 3.52 4.81 5.50
Auto loans 4.63 5.88 5.93
Consumer durable 7.85 10.52 7.79
Mortgage loans 5.28 5.64 7.41
Commodity financing 1.01 0.77 1.40
Cotton 2.63 2.22 2.75
Rice 0.66 1.13 2.87
Sugarcane 0.00 0.14 0.30
Wheat 1.47 0.64 0.57
Total 7.44 7.72 9.13
Source: SBP. NPL: Non performing loans


INTEREST RATES IN PAKISTAN

MONTHS/ YEAR RATES (%)
7-Jun-01 14
19-Jul-01 13
17-Aug-01 12
20-Oct-01 10
23-Jan-02 9
18-Nov-02 7.5
11-Apr-05 9
29-Jul-06 9.5
1-Aug-07 10
31-Jan-08 10.5
23-May-08 12
30-Jul-08 13
13-Nov-08 15
APRIL-09 14
Source: SBP

REGIONAL INTEREST RATES (%)

COUNTRIES END07 END08 JAN09
Korea 5.00 3.00 2.5
Thailand 3.25 2.75 2.0
Philippines 5.25 5.5 -
Taiwan 3.375 2.0 1.5
Indonesia 8.00 9.25 8.75
India 7.75 6.5 5.5
China 7.47 5.31 -
Turkey 15.75 15.00 13.00
Pakistan 10.00 15:00 14:00 (latest)
Various Sources


NPL COMPARED TO TOTAL LOANS & ADVANCES (%)

LARGE SIZE BANKS

MEDIUM SIZE BANKS

SMALL SIZE BANKS

BANKS 2007 2006 BANKS 2007 2006 BANKS 2007 2006
NBP 10.2 10.4 AB 6.4 3.6 MB 1.6 1.5
HBL 9.8 10.0 NIB 14.3 3.2 SP 19.5 14.7
UBL 6.9 6.2 HMB 0.9 0.5 MYB 5.4 7.3
MCB 4.7 4.1 BAH 0.3 0.5 KASB 4.1 6.9
BAF 2.7 1.5 FB 5.2 4.6 HSBC 0.4 0.6
ABL 6.4 6.9 ABN 6.6 2.8 BOK 18.9 28.7
SCB 8.2 6.3 CITI 2.1 1.1 ATLAS 8.0 6.3
BOP 2.5 2.3 SB 3.1 1.0 AIB 1.8 2.5
            DI 0.2 -
            CB 33.9 63.0
            JS 2.2 6.0
            AHB 1.6 9.0
            DB - -
Various Sources


KIBOR RATE AS ON 14 JULY 2009

TENOR BID OFFER
1 - Week 11.46 11.96
2 - Week 11.4 11.9
1 - Month 11.39 11.89
3 - Month 11.52 11.77
6 - Month 11.75 12
9 - Month 12 12.5
1 - Year 12.27 12.77
2 - Year 12.88 13.38
3- Year 13.01 13.51
Various Sources