Download Sample PDF

TagsInvesting Banking Swot Analysis Banks
File Size623.8 KB
Total Pages8
Document Text Contents
Page 3

Page 3

Topic Selection

I have selected Topic 8, “The Financial & Business Analysis Of Habib Bank limited (HBL)” as a

subject for my Research & Analysis Project (RAP). This topic will give me a chance to apply my

knowledge in a real organization because Analyzing Business and Financial Position of any

organization is key competence which an accountant should posses. However, there is a

massive difference in analyzing the real organization‟s business and financial environment as

compared to the exam question because there are thousands of factors affecting the business

in different manner.

This topic will definitely improve my interpretation skills. Moreover, provide me an opportunity to

understand and evaluate the economic environment and corporate culture and strategies.

About Habib Bank Limited HBL

Habib Bank limited (HBL) was the first commercial bank to be established in Pakistan in 1947.

Over the years, HBL has grown its branch network and become the largest private sector bank

with over 1,450 branches across the country and a customer base exceeding five million

relationships. HBL is the largest private bank in the country with a domestic market share of

over 40%. Habib Bank Limited is incorporated in Pakistan and is engaged in commercial

banking, modaraba management and asset management related services in Pakistan and

overseas. The Bank is expanding its presence in principal international markets including the

UK, UAE, Southland Central Asia, Africa and the Far East.

Key areas of operations encompass product offerings and services in Retail and Consumer

Banking.HBL has the largest Corporate Banking portfolio in the country with an active

Investment Banking arm. SME and Agriculture lending programs and banking services are

offered in urban and rural centers.

On June 13, 2002 Pakistan's Privatization Commission announced that the Government of

Pakistan had formally granted the Aga Khan Fund for Economic Development(AKFED) rights to

51% of the shareholding in HBL, against an investment of PKR 22.409 Billion (USD 389 Million).

On February 26, 2004, management control was handed over to AKFED. The Board of

Directors was reconstituted to have four AKFED nominees, including the Chairman and the

President/CEO and three Government of Pakistan nominees.

Page 4,2012

Page 6

Page 6

(Quarterly compendium financial soundness report, 2011, p.8)

Appendix 2



( ,2011)


In terms of Assets, Deposits and

Investments NBP and HBL has a

dominant domestic presence across

the Country. The Aggregated assets

of these 5 Banks 2011 are Rs. 4,339

Billion 17% higher than 2010 which

was Rs. 3,706 Billion and Profit after

tax have surged to Rs. 84.3 Billion in

2011, 19% higher as compared to

2010 Rs. 70 Billion.

However, there is a little increase in

the Advances which is 1.08% (Rs. 1,936 Billion in 2011 to 1,915 Billion in 2009). Due to the

economic conditions and recent flood disaster the increase in the non performing loans was

observed from past few years. However, surprisingly there is a decrease in 2011 by 5.4% (168

Billion from 178 Billion) from 2010.

Furthermore, the bank deposits, which have a key contribution in maintaining financial stability

of overall banking, has increased by 15% Rs. 3,385 Billion in 2010 to Rs. 2,932.3 Billion in

2010.siness & Financial Performance of Habib B







Advances of Top five Bank's
(In Million PKR),2011

Page 7

Similer Documents