NIB bank is no more able to perform banking activities in Pakistan
If you are an account holder of NIB Bank then you should need to read this notification from the State Bank of Pakistan.
According to the notification from the State Bank of Pakistan, NIB Bank is no more able to perform any kind of banking services in Pakistan from 4th July 2017 as a national bank has ceased all operational and business permit of a bank.
The State bank has passed the notification to close all the operational activities of NIB Bank and all the assets and deposits that banks hold including liability, human resources (HR) and all the branches are going to transfer with the MCB bank and further procedure of merging should be completed in the next 60 days.
The official information regarding the NIB Bank showed that branches are going to transfer towards the MCB bank with the procedure of rebranding but some of the branches should remain open to provide the administrative services to their customers.
The fact is that NIB Bank remains failed to provide extensive business in comparison to other banks
Profit loss: NIB bank is already facing the tough time these days as the bank remain unable to get enough business and profit in past years as the stats showed that bank remain able to earn Rs 1.420 billion but the profit of last year was Rs 2.617 billion.
Deposit loss: This is not only the worst situation but the deposit of the bank was also decreased as they have deposits of Rs 970 billion but the previous deposit state was Rs 130 billion.
The bank remains unable to prove them in the banking industry and this is the reason they entered into a merger with MCB Bank and the shareholders of the bank took this decision to cut all the losses of the bank and signed ‘share sweep agreement’ with MCB Bank.
With the merger of MCB bank, the shareholders and sponsors of the bank remain able to gain good margins in the future but a lot of NIB bankers switched their jobs into different banks during the process of a merger with MCB.
