MCB Bank Limited (hereinafter referred as “MCB” or “The Bank”) was incorporated as a public limited company, in 1947, and is listed on the Pakistan Stock Exchange (PSX).

Bank commenced operations in 1947 and was privatized in 1991. MCB Bank was the first Pakistani Bank to list its GDRs on the London Stock Exchange in 2006. It partnered with MayBank in 2008 (holding an 18.78% stake). MCB is the first Pakistani Bank which incorporated a wholly owned Islamic Banking subsidiary, MCB Islamic Bank Limited, to meet requirements of a significant segment of society, for financial solutions that conform to Shariah rulings, and demonstrate MCB's confidence in the potential of the Islamic Banking industry in the country. In 2024, MCB demerged and transfered 39 branches to MCB Islamic Bank to optimize its network and support the growth of Islamic banking.

MCB offers a wide range of products and services hence ensuring ease and freedom for the customer to Bank from any of the 1,403 branches as of Dec'24 (as of Dec'23: 1,438) across the network and a wide array of digital channels.

The Nishat group holds the majority of shares in the Bank, both directly and indirectly through individuals from the Mansha family and corporate entities within the group. With their individual ownership and the group's corporate holdings, the Mansha family exerts significant influence over MCB Bank. The Nishat Group is a highly respected and diversified business organization in South East Asia. It maintains a strong presence across various sectors.

The ownership of the bank is expected to stay stable in the foreseeable future as the Bank is one of the flaship entities of Nishat Group.  

Nishat Group, including individual holdings and holding through group corporates, is a premier business house of Pakistan and is one of the leading and most diversified in South East Asia, having a presence in Textile, Cement, Insurance, Banking, Financial Services, Power Generation, Hotel & Hospitality, Dairy, Paper Products, Retail Commerce, Real Estate, Agriculture, Aviation, and Automotive sectors. The Nishat Group is one of the largest private-sector employers, exporters, and tax contributors in Pakistan.

The Nishat Group holds a prominent position as a highly diversified and influential conglomerate in South East Asia. The group has a strong equity and asset base.

Currently, the Board of MCB Bank consists 13 members including CEO, four independent directors, and eight non-executive directors. All the directors on the Board are non-executive except for the CEO of the Bank. The non-executive directors provide independent oversight to the Board.  

Mian Mohammad Mansha, a well known business conglomerate has served as Chairman, Board of Directors MCB Bank Limited, after the Bank’s privatization, from 1991 to mid-1995 and then from 1997 till date. Mr. Muhammad Tariq Rafi is the Chairman of Siddiqsons Group and is a recipient of the coveted Civil Award Sitara-e-Imtiaz. Mian Umer Mansha, associated with MCB Bank’s Board since 1997, currently chairs several key committees. Mrs. Iqraa Hassan Mansha has more than 16 years diversified professional experience in Hotel Industry. She received her B.Sc. degree in International Politics from London School of Economics and M.Sc. degree in International Relations from the University of London School of Oriental and African Studies (SOAS). Muhammad Ali Zeb is currently the CEO and Managing Director of Adamjee Insurance Company Limited. He is a fellow member of the Institute of Chartered Accountants of Pakistan and has over 29 years of diversified professional experience in the fields of Finance, Insurance & Manufacturing. Mr. Yahya Saleem joined the family business as a Director of the Nishat Chunian Group, establishing a spinning mill in 1990. Since then, the company has diversified into weaving, home textiles, power generation, and entertainment. Today, Nishat Chunian Limited (NCL) ranks among the top five textile companies in Pakistan. Mr. Salman Khalid Butt is an accomplished international business executive and ex-banker. He is currently a Dubai, U.A.E. based entrepreneur. Mr. Mohd Suhail Amar Suresh Bin Abdullah has over 30 years of combined global experience in the financial services and telecommunications sector specialising in digital transformation, IT architecture, systems and application development, regional implementation and business development. Mr. Shahzad Hussain has vast experience in Audit, Tax practice and in consultancy. He headed many assignments, including Asian Development Bank funded assignment for Punjab Government Resource Mobilization, where he gained considerable experience in Provincial Government organization structures and procedures in various fields. Mr. Masood Ahmed Puri is a distinguished and versatile senior executive with extensive expertise in strategic planning, business development, risk management, and sound decision-making. Mr. Norzulkarnien bin Nor Mohamad possesses 18 years of diversified professional experience encompassing financial and business analysis, business planning & budgeting, strategic management, strategic project management and transformation, product development, branding & marketing, business development, business management, portfolio management, sales and distribution management, operation management, knowledge management and Islamic finance. Currently, he is serving as Executive Vice President/Head Strategy, Maybank Group Islamic Banking. Shaikh Muhammad Jawed possesses extensive expertise in the efficient management of cutting-edge industrial operations. His remarkable technical proficiency has earned numerous accolades and merits for outstanding performance in exporting industrial products from Pakistan.

The board with its active engagement with the stakeholders is well poised to govern the Bank and oversee the implementation of its strategy. To ensure effective and independent oversight of the Bank’s overall operations, the Bank has eight board committees.

The external auditors of the Bank, A. F. Ferguson & Co., Chartered Accountants, issued an unqualified audit opinion about annual financial statements for CY24. Furthermore, the Board has set up an effective internal audit function that reports independently to the Board Audit Committee. The Audit Committee and the Board also take full responsibility for ensuring that audit issues are value-added and resolved in the best interests of the Bank.

MCB has a lean organizational structure that clearly defines responsibilities, authority, and reporting lines with proper monitoring and compliance mechanisms. The Bank, with a largely horizontal organizational structure, has multiple groups & divisions reporting to the CEO, except Internal Audit and Corporate Affairs which reports to the Board’s Audit Committee and the Board respectively.

Mr. Muhammad Nauman Chughtai, President & CEO, holds an MBA from LUMS and is a CFA charter holder. With over 32 years of experience, he has held key positions such as Group Head Corporate Banking, and Chief Risk Officer at MCB Bank. His leadership, strategic insight, and focus on operational excellence continue to support the Bank’s steady growth and strong market position.

MCB Bank operates with a comprehensive governance structure that includes multiple management committees and sub-committees, each with specific terms of reference. These committees consist of senior officials, including the President, and conduct regular meetings to address various aspects of the Bank's operations

MCB management has centralized the authority, direction, management, and monitoring of Information Security activities for the entire organization under the umbrella of the Information Security (IS) Team.

Prudent risk management aspects are embedded in the Bank’s strategy, organizational structure, processes, and systems and controls. Risk Management & Portfolio Review Committee remains responsible for ensuring that appropriate risk management policies are developed and implemented to mitigate the key risks to which the Bank is exposed. The Bank executes its risk strategy and undertakes controlled risk–taking activities within its risk management framework. The Board of Directors and its relevant committee, i.e. the Risk Management & Portfolio Review Committee (RM&PRC), the senior management and its relevant committees, i.e. the Management Credit and Risk Committee (MC&RC), Asset Liability Committee (ALCO), etc. are responsible to ensure formulation and implementation of comprehensive Risk Management Framework. This framework is based on prudent risk identification, measurement, management and monitoring processes which are closely aligned with the activities of the Bank. The framework combines core policies, procedures and process designs with board oversight and is supported by an efficient monitoring mechanism across the Bank to ensure that risks are kept within an acceptable level. The Chief Risk Officer is responsible for overseeing the Bank's credit review, credit risk control, credit policy, market risk, operational risk, and information security risk functions across all business areas, including overseas operations.

During CY24, Pakistan's Banking sector's total assets posted growth of ~15.81% YoY whilst investments surged by ~14.50% to PKR ~29.8trln (endDec23: PKR ~26trln). Gross Advances of the sector recorded growth of ~29.11% to stand at PKR ~16.914trln (end-Dec23: PKR ~13.101trln). Non-performing loans witnessed an increase of 7.35% YoY to PKR ~1,068bln (end-Dec23: ~995bln). The CAR averaged at 20.6% (end-Dec23: 19.7%). Looking ahead, given the expected monetary easing and inflationary environment, Banks are likely to sustain some dilution in profitability by CY25. (Source: SBP Compendium)

In CY24, the Bank reported a market share of 6.3% in customer deposits. As of end-Dec'24, the absolute value of customer deposits for MCB stands at approximately PKR 1,870.6bln (end-Dec'23: PKR 1,753.8bln), reflecting an increase of 6.66%.

In CY24, the Bank's markup earnings surged to PKR 367.0bln (CY23: PKR 328.1bln) with investments contributing significantly (CY24: PKR 246.3bln, CY23: PKR 203.6bln). The net markup income increased by 1% to PKR 149.1bln from CY23's PKR 147.7bln. . Advance yield stood at 16.9% in CY24, witnessing a decline from 17.9% in CY23, while investment yield improved from the last year. Consequently, the Bank's total income throughout CY24 increased and reached to PKR 186.5bln (CY23: PKR 180.6bln).

In CY24, the Bank's non-markup income reached PKR 37.4bln (CY23: PKR 32.9bln) with fee and commission income driving growth to PKR 21.2bln (CY23: PKR 20.2bln). Dividend income grew significantly, reaching PKR 3.5bln (CY23: PKR 3.0bln) Foreign exchange income increased to PKR 9.2bln (CY23: PKR 8.5bln). Correspondingly, the cost of funds experienced a substantial surge. Furthermore, the Bank's core spread declined as compared to the previous year.

MCB remained financially strong having a healthy market share and sound balance sheet footings; current account concentration stood at 47% as at Dec 24 (Dec 23: 48.2%) through strategic measures. The Bank has witnessed growth in its net markup income. This growth can be attributed to a notable surge in markup earnings and a shift towards income generated from investments. Overall, MCB Bank has exhibited stability and good financial performance.

The Bank's infection ratio has decreased to 4.9% in CY24 (CY23: 8.7%). This was driven primarily by the increase in advance base, while the NPLs reported at 53.6bln in CY24 (CY23: 53.9bln). Additionally, the provision coverage ratio (total provision) improved to 99.3% in CY24 (CY23: 82.7%).

The Bank's investment portfolio witnessed a 6.56% decrease in CY24, amounting to PKR 1,167bln (CY23: PKR 1,249bln). Government securities remained the dominant component, making up 88.1% of the total and representing 45% of the Bank's total earning assets. In CY24 Government securities are mainly comprised of PIBs amounting to PKR 940bln (CY23: PKR 781bln) and are followed by T-Bills amounting to PKR 76.7bln (CY22: PKR 353bln). The total risk weighted assets of the Bank increased by 26.87% to stand at PKR 1,400bln (end-Dec23: PKR 1,103ln).

In CY24, the Bank experienced a 6.47% gain in its deposit base, totaling PKR 1,922.2bln, compared to the previous year's PKR 1,805.4bln. The Bank's Liquid Assets / (Deposits + Borrowings Net of Repo) ratio experienced an increase and stood at 54.3% (CY23: 66.6%). In CY24, the Current Account (CA) concentration stood at 47.1% and the Savings Account (SA) concentration at 48.1%, compared to 45.4% (CA) and 48.6% (SA) in CY23. The Bank's customer deposits increased to PKR 1,870.6bln in CY24 (CY23: PKR 1,753.8bln)

The Bank has consistently maintained a commendable Capital Adequacy Ratio (CAR) that exceeds regulatory requirements, ensuring a secure financial position. The equity base increased to 270.3bln in CY24 (CY23: 230.1bln), reflecting a growth of 17.14%. In CY24, the Capital Adequacy Ratio (CAR) stood at a solid 19.35%, reflecting a marginal decline from 20.4% in CY23. The Bank has not issued any Tier I, Tier II capital instruments.