Bank Alflah deposits increased by 7.3% to Rs 339.5bn in 1st quarter 2011

LAHORE: Despite poor economic situation and mounting pressure on the banking sector due to circular debt, NPLs and 2010 floods, performance of Bank Alfalah Limited has showed a positive trend in 1st quarter of 2011. Bank’s total deposits have increased by 7.3 percent to Rs.339.5 billion as on March 31, 2011. Bank’s annualized Return on Equity and Return on Assets has also improved to 18.45 percent and 0.91 percent as of March 31, 2011 compared to year end 2010 figures of 4.90 percent and 0.24 percent respectively, says CEO of Bank Alfalah Limited Sirajuddin Aziz.

The CEO of Bank Alfalah dispelled the rumours that the Bank and Abu Dhabi Group is looking to exit Pakistan through divestment or sell-off.

On the contrary, the Bank is aggressively looking for growth opportunities in Pakistan which is evident from the expansion of its branch network all across Pakistan, said Mr Sirajuddin Aziz.

He was addressing the members, investors, analysts and media representatives at the Corporate Briefing Program of Bank Alfalah held at the Lahore Stock Exchange. Mr Aziz presented a detail overview of the Bank’s operations and also shared future expansion plans of the Bank.

Speaking on the occasion, he said that the Bank which started operation in 1997 with just 3 branches is today the 6th largest bank in Pakistan with 386 branches in 150 towns, over Rs400 billion (4.8 billion US dollars) in assets and still growing rapidly. The bank is looking to open 24 more branches and is looking for opportunities to expand foreign operations in Hong Kong and Beijing in addition to Bangladesh, Afghanistan, UAE and Bahrain. The Bank also has the distinction of having the second largest Islamic Banking operations is Pakistan.

The Bank has been assigned a long term rating of AA and a short term rating of A1+ by the PACRA signifying high credit quality and very low credit risk.

Bank Alfalah is part of Abu Dhabi Group, which has controlling interest in the Bank. The Group, besides banking, has investments in various sectors including telecom, asset management and insurance.

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