Malahide Credit Union’s Post

Bank Alfalah Limited (PSX: BAFL) will impose a 5% fee on month-end balances exceeding Rs5 billion, effective December 15, 2024. According to the bank’s addendum to the schedule of charges for July to December 2024, accounts with a balance of PKR 5 billion or more on the last day of the month will incur this fee. The move aims to discourage high-net-worth clients from making last-minute deposits that artificially inflate their accounts to improve the bank's Advance-to-Deposit Ratio (ADR) and evade the ADR tax imposed by regulators. By introducing this fee, Bank Alfalah seeks to attract more stable, long-term deposits rather than temporary inflows that only meet month-end regulatory requirements. #BankAlfalah #BankingNews #DepositFees #FinancialRegulations #AdvanceToDepositRatio #PakistanBanking

Currently, it has been observed that the Banks have started applying a monthly Fee or Negative Interest on the high deposits maintained with the banks as well as incorporated the same in Schedule of Charges and suddenly some of the banks which have initiated this weird decision, starting calling off the same with immediate effect. This seems to be quite surprising that a principal decision which surely requires approval of BoD and MANCOM has been rolled back abruptly, which clearly reflects that no proper homework was done before executing the final decision. This is so unfortunate that the Banks become so greedy to mint easy money and not even taking calculated risk to play their role in developing the economy. Please note that the Banks must maintain an ADR of at least 50%. If a bank's ADR is below 50%, the government will impose a 15% incremental tax on the bank. Since they are required to maintain 50% ADR, which would be addressed by extending their lending portfolio, but they opted an easy way that is selected to unload the Deposit, so their Credit Portfolio will come under the threshold defined by the State Bank of Pakistan. The government's goal is to encourage banks to lend more to the Corporate, Medium and Small private sector, but the Banks that are addicted to mint profits through the T-Bills or Sukuk Bonds are not inclined to generate business or profitability through lending. Now, when December 31st, 2024 is ahead, which is classified as the Annual Closing date for the banks, very soon, you will observe a race will be started between the Banks to secure the top positions among the pears. I believe that, the doubling and multiplying Profit scenario for the banks will not sustain more! As due to the aggressive decline in the discount rate and organic increase in the OPEX will adversely impact their profitability. The reduction in the profit will impact their over all profitability as well as the expected increase in the number and amount of Loss making Branches will also add value in it, that's why some of the proactive banks have started reducing their network by closing the branches countrywide. Recently, the SBP has taken some essential corrective measures by applying MDR on Islamic Banks, but it is also required that the SBP should conduct a critical review of the Schedule of Charges of the bank, since most of the banks are charging unreal and exorbitant charges for the petty service from the poor customers e.g. SMS Alert, Debit Card and other basic services.

Company Updates: Karur Vysya Bank Karur Vysya Bank Guidance Update Loan Growth: Expected to rise by 14%-15% in FY25 Net Interest Margin (NIM): Projected to be at 4% by Q3 FY25 Slippage Ratio: Expected to stay at 1% Credit Cost: Forecasted at 0.75% Credit-Deposit Ratio: Targeted between 83%-85% This guidance signals strong performance ahead for Karur Vysya Bank, providing valuable insights for investors. #CompanyUpdates #FinancialNews #MarketInsights #InvestorAlert #KarurVysyaBank #BankingSector #cnbctv18market #proinvestor #proinvestorai

All lenders in Malaysia follow uniform pricing structure as mandated by Bank Negara Malaysia (BNM). Read more 👉 https://lttr.ai/APUcY #Lifestyle #Home #Handyman #Homeimprovement #Homeupgrade #LenderSRiskAppetite #OfferPesonalLoans #OffersPesonalLoans #PersonalConsumerLoan #PersonalLoanProvided

Credit goes to all senior management who are doing their best in this regard

The Board of Directors of Bank Alfalah Limited (BAFL), in its meeting held on April 24, 2024, approved the Bank’s financial results for the quarter ended March 31, 2024. The Bank reported profit after tax of Rs. 9.912 billion, representing Earning Per Share (EPS) of Rs. 6.28. The Board has declared an interim cash dividend of Rs. 2.00 per share. The Bank’s deposit base closed at Rs. 2.043 trillion as at March 31, 2024; the 31.5% year-on-year (YoY) increase represents one of the strongest growths across the banking sector. Our focus remains on strengthening our customer franchise by emphasising on our strategic pillars of expansion and innovation. The Bank is committed to becoming a leading transactional bank. The bank’s ongoing success is underscored by a significant increase in market share across key metrics, including trade business, remittances, consumer products and deposit volumes. The Bank reported its advances at Rs. 754.298 billion while upholding robust credit discipline amid challenging market conditions and has sufficient provision against non-performing loans with a coverage of 124.5%, including general provision. The Bank remains adequately capitalised with CAR at 17.00% as at March 31, 2024, staying comfortably above the regulatory requirement. The Bank is solidifying its reputation as the best digital bank by continually introducing innovative products and channels. Its Digital Sales and Service Center model, first of its kind Digital Lifestyle branch, coupled with enhancements to its mobile application, has significantly increased transaction throughput. The Bank remains dedicated to advancing digitisation and enhancing the efficiency of its offerings, ensuring it meets the evolving needs of its customers. As a socially responsible institution, the Bank continues to demonstrate its commitment to the community by partnering with trusted and reliable partners from the developmental sectors to engage in impactful outreach programs. By focusing on strategic giving, the Bank supports various initiatives aimed at enhancing social, economic and environmental capital. The bank is poised to explore new horizons, expand presence, and have a deeper and more profound impact on the community and financial empowerment. #BankAlfalah #profit #billion

Ahadu Bank Reports Significant Profit in 2016 Fiscal Year Ahadu Bank a relatively new player in the banking sector, has announced a pre-tax profit of 120 #million birr for the 2016 fiscal year. In its inaugural year of operation, 2015, the bank recorded a #loss of 267.7 million birr; however, it successfully turned its #financial performance around in the current fiscal year, as highlighted in the report. The report further reveals that during its two-year tenure, the bank has achieved a #cumulative profit while managing total assets amounting to 6.4 billion birr, with a signed capital of 1.4 billion birr. Founded in 2021, Ahadu Bank has reported that its total deposit accounts have reached 4.66 #billion birr. Additionally, it has successfully collected approximately 80 #million US #dollars in foreign #currency throughout this operational period.

Bank Alfalah Limited has introduced a 5% monthly fee on checking accounts with end-of-month balances of Rs. 5 billion or more (or equivalent in foreign currency). This change, effective December 14, 2024, is part of the updated schedule of charges for July–December 2024. The fee means that accounts with a minimum balance of Rs. 5 billion will face a monthly deduction of at least Rs. 250 million. The move comes as banks respond to the federal government's 16% tax on institutions with an Advance-to-Deposit Ratio (ADR) below 50%. To avoid this tax, banks are taking measures to encourage private lending or reduce excess deposits.

Small Finance Bank's that are eligible to become Universal Bank ranking wise... List of SFBs who are eligible (eligibility wise ranking) 1. #AU SFB 2. #Ujjivan SFB 3. #Utkarsh SFB 4. #Jana SFB 5. #Capital SFB FOCUS - AU SFB Universal banking is a term for banks that offer a variety of comprehensive financial services, including both commercial banking and investment banking services. #sfb #universal #bank #finance #daily #news #update #rbi #linkedin #reach #jobs

Soneri Bank profit rises 32pc on higher interest income Soneri Bank Limited posted a 32 percent increase in first-quarter profit to Rs3.6 billion due to higher interest income. "The bank posted profit before tax of Rs3,554 million and profit after tax of Rs1,760 million for the quarter ended March 2024, as compared to Rs2,694 million and Rs 1,489 million respectively in the same period last year growing impressively by 31.91 percent and 18.20 percent respectively," the bank said in a statement. The EPS was recorded at Rs1.5965 per share for the current reporting quarter, as compared to Rs1.3506 for the comparative prior period.