Bank Depositors Surge Over 79 Million in Pakistan

Depositors of scheduled banks surged to over 79.2 million out of which more than 78 million are eligible depositors and their deposits are protected up to the extent of the protected deposit amount as specified by the Deposit Protection Corporation (DPC). According to the fourth Annual Report for the fiscal year ended June 2024, DPC’s robust deposit protection fund stands at a total of Rs. 148 billion, which is a testimony to DPC’s efforts toward fulfilling its mandate of compensating the losses incurred by the eligible depositors of any member bank in the unlikely event of its failure. Therefore, it emphasizes DPC’s role in promoting financial stability in Pakistan. The report has been issued to provide a complete disclosure of the Corporation’s financial performance, operating activities, and achievements. The annual report illustrates key features of the deposit protection scheme and its targeted awareness campaigns and informative sessions conducted in various regions of the country. A comprehensive financial review with comparative analyses spanning five years, along with an auditor’s report and audited financial statements for 2023-24 have also been disclosed. DPC was established under the Deposit Protection Corporation Act 2016 and operates as a subsidiary of the State Bank of Pakistan (SBP) with the mandate to compensate banks’ depositors in the unlikely event of any bank failure as and when notified by SBP. The annual report of DPC for the year 2023-24 provides a graphical illustration of total and eligible deposits and the coverage ratio of banks’ depositors.