Macroeconomic indicators are moving in right direction: SBP chief

KARACHI: Governor State Bank of Pakistan Jameel Ahmad has said the country’s major economic indicators -- such as inflation, fiscal consolidation, financial stability, and external sector performance -- are all heading in the right direction, a statement said.

Ahmad said this at the 9th Pakistan Banking Awards (PBA) ceremony 2024 held on Friday.

The governor highlighted key macroeconomic progress, which plays a critical role in the success of banks in achieving their objectives. “As we celebrate these achievements, it is also important to recognise the broader context in which these awards are set.

In FY2024, Pakistan saw significant improvements in its economic performance, demonstrating the resilience of Pakistan’s economy. The key economic indicators, including inflation, fiscal consolidation, financial sector stability, and external sector performance, are moving in the right direction,” observed Ahmad.

He said that the future of banking in Pakistan will be driven by innovation, transparency, and an unwavering commitment to customer satisfaction.

Ahmad, who is also chairman of the Board of Directors National Institute of Banking and Finance Pakistan (NIBAF), commended the participating banks for their active involvement in the awards and for their continued efforts to lead in innovation, transformations and sustainability.

Emphasising the significant role of banks in today’s rapidly evolving landscape, he said, “In today’s fast-evolving world, banks are no longer merely custodians of financial assets. They are key enablers of economic growth, innovation, and inclusion -- playing a pivotal role in shaping the future of our nation’s financial ecosystem.”

He shared his vision for the future of banking in Pakistan and added the importance of aligning with the country’s long-term goals. Each award category of the PBA reflects key objectives that banks should aspire to achieve. The evaluation criteria for these awards is a foundational benchmark, guiding institutions toward meeting the ambitious, yet achievable goals outlined in the SBP Vision 2028, especially addressing the expansion of financial inclusion, focus on environmental social and governance (ESG), and fostering a tech-driven environment. “By striving to meet these standards, banks remain a crucial enabler of growth, inclusion, and economic development,” he remarked.

In his welcome address, Riaz Nazarali Chunara, chief executive officer of NIBAF Pakistan, commended the organising partners for their unwavering support, which has made this event possible for the ninth consecutive year. He also acknowledged the contributions of the participating banks and financial institutions, recognising their commitment and efforts in striving for leadership within their respective sectors.

These awards are considered the industry’s definitive benchmark for excellence in banking and encompass participation from microfinance and Islamic banks in addition to the mainstream commercial banks.

Awards for 2024 were distributed to various banks and financial institutions for their best performance in eight different categories. A new award category for Women Inclusion was introduced this year. The details of the awards are as follows:

Meezan Bank Limited received the Best Bank Award; the Best Bank for Women Inclusion & Best Bank for Agriculture title went to Bank of Punjab; the Best Microfinance Bank award went to Mobilink Microfinance Bank Limited; the award for Best Bank for SMEs went to HBL; Bank Alfalah Limited bagged the Best Bank for Digital Excellence and Best Bank for Customer Engagement. The winners were selected by a distinguished jury consisting of six experts from the corporate, banking, and financial sectors.