{"id":5417,"date":"2025-07-16T18:27:29","date_gmt":"2025-07-16T13:27:29","guid":{"rendered":"https:\/\/pkfin.kotenterprises.dev\/?p=5417"},"modified":"2025-07-16T18:27:29","modified_gmt":"2025-07-16T13:27:29","slug":"pakistans-banking-sectors-adr-drops-to-38-as-of-june-2025","status":"publish","type":"post","link":"https:\/\/pkfin.kotenterprises.dev\/?p=5417","title":{"rendered":"Pakistan\u2019s banking sector\u2019s ADR drops to 38% as of June-2025"},"content":{"rendered":"

The banking sector\u2019s gross Advance-to-Deposit Ratio (ADR) maintained its downward trajectory, clocking in at 38% as of June 2025.<\/p>\n

The banking sector\u2019s ADR stood at 38.1% as of June 2025, down from 39.8% recorded in May 2025, reflecting a decrease of 172 basis points (bps), stated brokerage house Arif Habib Limited (AHL)<\/a> on Tuesday.<\/p>\n

On a yearly basis, the ADR was down 186bps, compared to 40% in June 2024.<\/p>\n

Meanwhile, the banking sector\u2019s Investment-to-Deposit Ratio (IDR) lowered to 103% in June 2025, as compared to 105.8% in May 2025, registering a decline of 282bps. However, on a year-on-year basis (YoY), IDR was up 608bps, compared to 96.9% in June 2024.<\/p>\n

The increase in IDR indicates that banks are heavily investing in government instruments, possibly due to attractive yields, low credit appetite, or limited private sector<\/a> demand.<\/p>\n

As per the data, the banking sector\u2019s deposits<\/a> saw strong growth both YoY (14.1%) and month-on-month (MoM) (8.5%), rising to Rs35.5 trillion in June 2025.<\/p>\n

Investments grew faster than both deposits and advances YoY (21.2%), clocking in at Rs36.6 trillion in June 2025.<\/p>\n

Advances (loans) stood at Rs13.5 trillion in June 2025, registering moderate growth of 8.7% YoY and 3.8% MoM, showing some revival in credit demand.<\/p>\n","protected":false},"excerpt":{"rendered":"

The banking sector’s gross Advance-to-Deposit Ratio (ADR) maintained its downward trajectory, clocking in at 38% as of June 2025. The banking sector’s ADR stood at 38.1% as of June 2025, down from 39.8% recorded in May 2025, reflecting a decrease of 172 basis points (bps), stated brokerage house Arif Habib Limited (AHL) on Tuesday. On […]<\/p>\n","protected":false},"author":1,"featured_media":5418,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"_FSMCFIC_featured_image_caption":"","_FSMCFIC_featured_image_nocaption":"","_FSMCFIC_featured_image_hide":"","footnotes":""},"categories":[1299],"tags":[],"class_list":["post","format-standard"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t