Banking sector of Pakistan
Pakistan Banking Sector
INTRODUCTION
Financial Sector
Financial Sector in Pakistan owns a number of financial institutions -Commercial banks, specialized banks, national savings schemes, insurance companies, investment banks, stock exchanges, leasing companies, micro-finance institutions and Islamic banks etc. They offer so many products and services of assets and liabilities side. Financial developing has increased during the last several years instead of commercial banks. Commercial banks (12 foreign and 20 domestic banks) hold 80Percent of the banking system assets. Facility policies for the foreign banks are same as the domestic banks and there is no superior treatment for domestic organizations. Not like several countries, in Pakistan foreign banks can have 100 percent ownership. Not only the foreign banks but the foreign companies are also provided the complete freedom as they can raise finances of all types and tenures from the domestic banking system.
Banks
Banks are the financial arbitrators or you can say the disinterested party. The role of a financial arbitrator is to sell its own duties and buy the duties of selling party. By granting its services with smart structures, an arbitrator can sell its duties/services for a good price as compare to the rate of other party, to whom it’s buying the obligations. And on the other hand, we can describe this thing as it can advertise its services at lower interest rate as compare to the rate at which it can grasp the services that it can buys. The return, of the participant in business of intermediary, is the net profit after deducting all other expenses during these arbitrators’ activities. Bank is an organization, which transacts the money deposited from the people, and invests it in the business activities. And it has to repay money at the demand of the depositors. Cheque, draft order, ATMs etc. are the sources to repay the money to the depositors. Here are the some types of Banks, i.e.
INTRODUCTION
Financial Sector
Financial Sector in Pakistan owns a number of financial institutions -Commercial banks, specialized banks, national savings schemes, insurance companies, investment banks, stock exchanges, leasing companies, micro-finance institutions and Islamic banks etc. They offer so many products and services of assets and liabilities side. Financial developing has increased during the last several years instead of commercial banks. Commercial banks (12 foreign and 20 domestic banks) hold 80Percent of the banking system assets. Facility policies for the foreign banks are same as the domestic banks and there is no superior treatment for domestic organizations. Not like several countries, in Pakistan foreign banks can have 100 percent ownership. Not only the foreign banks but the foreign companies are also provided the complete freedom as they can raise finances of all types and tenures from the domestic banking system.
Banks
Banks are the financial arbitrators or you can say the disinterested party. The role of a financial arbitrator is to sell its own duties and buy the duties of selling party. By granting its services with smart structures, an arbitrator can sell its duties/services for a good price as compare to the rate of other party, to whom it’s buying the obligations. And on the other hand, we can describe this thing as it can advertise its services at lower interest rate as compare to the rate at which it can grasp the services that it can buys. The return, of the participant in business of intermediary, is the net profit after deducting all other expenses during these arbitrators’ activities. Bank is an organization, which transacts the money deposited from the people, and invests it in the business activities. And it has to repay money at the demand of the depositors. Cheque, draft order, ATMs etc. are the sources to repay the money to the depositors. Here are the some types of Banks, i.e.