NIB Bank is no more in the banking industry in Pakistan as the state bank has come to an end its operations and canceled its operational and business license of use from July 07th, 2017, according to a notification of the State Bank of Pakistan (SBP).
The closing of bank’s office operations and trade will begin the procedure of merger and union with and into MCB Bank.
For that reason, the assets, liabilities, deposits, human resources, and branches of the NIB Bank will be shifted to the MCB Bank for more consolidation which is probably to be finished in the next 60 days.
According to the official reports, a number of chosen NIB Bank branches will stay operative for offering services to its customers while the majority of the branches will be distorted into the branches of MCB via its rebranding.
The staff bankers will be kept by MCB Bank as per contract with the earlier management of the bank; on the other hand, the reduction of expenditure of the unnecessary staff is not going to be there.
Although a lot of NIB staff switched their jobs into different banks in the duration of the regulatory process of amalgamation and merger of the two banks.
At the end of 2016, NIB’s return after tax stood at Rs 1.420 billion in contrast with Rs 2.617 billion last year. The bank deposits cut down to Rs 97 billion from Rs 130 billion. Its advanced set at Rs. 87 billion by end of 2016 as compared to Rs 110 billion.
NIB Bank had been facing hard times for the past several years fading to stand with sustainable productivity in the highly spirited industry. The shareholders and sponsors of the bank will get superior margins going forward with the merger of operations with MCB Bank.