Impact of Covid-19 on the Banking Sector of Pakistan

Abstract

As it is seen that Pakistani banks are working continuously during the whole duration of covid-19 without any interruption, we have conducted this study to evaluate the performance of banks. We have explored in this study the impact of covid-19 on the Banking sector of Pakistan. By analysing banks' performance indicators, we have seen the trends of performance of top Pakistani banks. Ten banks are taken understudy, and six performance indicators such as Return on Assets, Return on Equity, Net income, Total deposits of banks, and Current ratios are examined in detail. The data is taken from the last quarter of 2019 and all four quarters of 2020. The data is collected from financial reports and other published sources. Comparisons have been made among each quarter of the banks which shows that we have to use the method of comparative analysis for this study. The results conclude that Pakistani banks are performing very well during the whole scenario of covid-19, where all other sectors of the economy have collapsed worldwide. Significant performances of the banks have supported the economy of Pakistan well. So, this study is helpful to the analysts, other researchers, and the decision-makers to banks to understand the trends and make their decisions accordingly.