UBL to Shut Down Its Subsidiary in Switzerland

United Bank Limited (UBL) continues to scale back its international operations as part of its global realignment strategy in phases, and now plans to voluntarily wind up its wholly-owned subsidiary UBL (Switzerland) AG. ALSO READ IMF is Not Cancelling its Loan to Pakistan: Shaukat Tarin This decision is in line with UBL’s exit strategy from non-core markets. The winding-up is subject to relevant legal and regulatory approvals, including the approval of its shareholders. In 2020, UBL has sold its subsidiary in Tanzania after ending its major operations in New York in 2018. It also liquidated its shareholding in the Oman United Exchange Company, Muscat over the last couple of years. Besides UBL, other leading commercial Pakistani banks are also working on reducing the global footprint of their businesses through branches and subsidiaries while choosing to enhance their global businesses through partnership models and focusing on optimally consolidating their local operations simultaneously. A notification issued to the Pakistan Stock Exchange detailed that UBL and UBL (Switzerland) AG will continue to work closely with all their stakeholders throughout the winding-up process to ensure that UBL (Switzerland) AG is closed down in an orderly manner, fulfilling all its obligations and complying with all the applicable laws, rules, and regulations. ALSO READ Punjab Allocates Rs. 2.653 Trillion Budget With No New Taxes for 2021-22 The latest quarterly accounts showed that the carrying value of UBL (Switzerland) AG on the holding company’s balance sheet was only Rs. 590 million, or 0.05 percent of its total investments. The notification also detailed that UBL’s decision to wind up UBL (Switzerland) AG will not have any material impact on the former’s overall operating and financial position.