History of the Bank.
NIB Bank Limited started as NDLC-IFIC Bank Ltd. which was incorporated in March 2003 as a public limited company. It started operations in October 2003 when all assets, liabilities, rights and obligations of the former National Development Leasing Corporation (NDLC) and Pakistan operations of IFIC were amalgamated with and into the bank with a paid up capital of Rs.1.2bn. In April 2004 the Pakistan operations of Credit Agricole Indosuez were also amalgamated with and into NIB. In March 2005 Temasek Holdings of Singapore acquired 25% shareholding.
This shareholding was further enhanced to over 70% in June '05 following an increase in NIB's paid up capital to Rs.3.4bn.
NIB Bank has since grown rapidly from a base of 2 branches in 2003 to 45 in the 4th quarter of 2007. Total assets have grown from Rs.9bn in December 2003 to Rs.87bn (excluding acquisition of PICIC through rights) as of September 30 2007, a CAGR of 85%. Loan growth has been equally rapid, increasing from Rs.7bn to Rs.43bn in the same period (a CAGR of 64%), resulting from successes in both the commercial and consumer business.
Deposits for the same period have grown at a CAGR of 95%, reaching Rs.45.3bn. The overall client base of NIB has also witnessed a tremendous growth in the same period as of September 2007; from a few thousand to over one hundred thousand.NIB Bank's vision is to rank amongst the top 5 banks in the country.
Therefore towards end of June 2007 it acquired majority shares of PICIC with the aim of merging PICIC and its commercial banking subsidiary PICIC Commercial Bank Limited into NIB . The acquisition was financed through the country's largest private sector rights issue, with resultant increase in NIB's paid up capital to Rs.21.4bn. The PICIC acquisition has bought with it another subsidiary "PICIC AMC" and an affiliate "PICIC Insurance". NIB already has a shareholding in NAFA, an Asset Management Company (AMC); thus its asset management business will now also be increased, with diversification in the insurance business.
The legal merger of PICIC, NIB & PCBL took place on December 31, 2007, once all regulatory approvals were in place. NIB Bank is led by Khawaja Iqbal Hassan, supported by four business heads and ten business enabling function heads. The merger has resulted in a vastly expanded network of 240 branches and total assets of over Rs.185bn. Consequently NIB has the second highest paid up capital of around Rs.27.5bn and ranks number 7 amongst commercial banks in terms of distribution network. Merger synergies will accrue through lower cost deposits, enhanced customer service delivery channels and overall improved efficiencies. These would provide a competitive edge in the face of increasing competition. Temasek Holdings remains the largest single investor in NIB Bank.
This merger is one step forward in consolidating the banking sector as envisioned by State Bank of Pakistan and enhancing FDI as per the Government of Pakistan's objectives. The powerful franchise of the three merged entities has now been brought together to form a large and powerful bank. Going forward management is confident that the combined bank will be a top performer delivering a wide range of financial services through an extensive branch network. The asset management arms and insurance affiliate are also expected to perform well and provide an attractive dividend stream.
ABOUT THE BANK
NIB Bank has since grown rapidly from a base of 2 branches in 2003 to 45 in the 4th quarter of 2007. Total assets have grown from Rs. 9 bn in December 2003 to Rs 87 bn (excluding acquisition of PICIC through rights) as of September 30 2007, a CAGR of 85%. Loan growth has been equally rapid, increasing from Rs 7 bn to Rs 43 bn in the same period (a CAGR of 64%), resulting from successes in both the commercial and consumer business.
Deposits for the same period have grown at a CAGR of 95%, reaching Rs. 45.3 bn. The overall client base of NIB has also witnessed a tremendous growth in the same period as of September 2007, from a few thousand to over one hundred thousand.NIB Bank's vision is to rank amongst the top 5 banks in the country. Therefore towards end of June 2007 it acquired majority shares of PICIC with the aim of merging PICIC and its commercial banking subsidiary PICIC Commercial Bank Limited into NIB . The acquisition was financed through the country's largest private sector rights issue, with resultant increase in NIB's paid up capital to Rs.21.4bn. The PICIC acquisition has bought with it another subsidiary "PICIC AMC" and an affiliate "PICIC Insurance". NIB already has a shareholding in NAFA, an Asset Management Company (AMC); thus its asset management business will now also be increased, with diversification in the insurance business.
NIB Bank is led by Khawaja Iqbal Hassan, supported by four business heads and ten business enabling function heads. The merger has resulted in a vastly expanded network of 240 branches and total assets of around Rs.185 bn. Consequently NIB has the second highest paid up capital of around Rs 27bn and ranks number 7 amongst commercial banks in terms of distribution network. Merger synergies will accrue through lower cost deposits, enhanced customer service delivery channels and overall improved efficiencies. These would provide a competitive edge in the face of increasing competition. Temasek Holdings remains the largest single investor in NIB Bank with a shareholding 70%
This merger is one step forward in consolidating the banking sector as envisioned by State Bank of Pakistan and enhancing FDI as per the Government of Pakistan's objectives. The powerful franchise of the three merged entities has now been brought together to form a large and powerful bank. Going forward management is confident that the combined bank will be a top performer delivering a wide range of financial services through an extensive branch network. The asset management arms and insurance affiliate are also expected to perform well and provide an attractive dividend stream.
THE NEWS ARTICLE:
KARACHI - NIB Bank is likely to acquire Global Securities Pakistan Limited, one of the leading corporate finance and stock brokerage entity, The Nation learnt.
The NIB Bank has applied for approval from the State Bank of Pakistan to acquire 100 per cent stake in the said company.
It may be noted here that the NIB Bank had already acquired PICIC a few months ago and as of January 2008, the paid-up capital of the bank increased to Rs. 28.4 billion, which is the second highest paid-up capital among all banks in Pakistan.
Meanwhile according to Annual Report of the bank 2007, the investment banking and advisory business of Global, which is responsible for more than 50% of all privatizations in Pakistan, will be divested and merged into the Corporate and Investment Banking Group of NIB, creating a new area of growth for the bank.
The bank is also set to merge PICIC Asset Management Company with National Fullerton Asset Management Company (NAFA), subject to shareholders and regulatory approvals. This proposed merger will create the largest asset management company in Pakistan.
After the merger, PICIC Insurance Limited, a listed general insurance company is also now 30% owned by NIB Bank.
The bank successfully merged with Pakistan Industrial Credit & Investment Corporation Ltd (PICIC) and PICIC Commercial Bank Ltd (PCBL) in December2007. This merger resulted in creating the seventh largest bank in the country in terms of distribution network (240 branches).
Just fewer than half a million customers of the merged bank will also provide considerable opportunities to cross-sell products. The stable and lower cost deposit base inherited from PCBL will allow NIB the room to grow advances without having to raise deposits at a high marginal cost.
The bank will also benefit from acquiring a large branch network at a relatively low operating cost base.
NIB annual report revealed that after acquisition, with Rs. 176.7 billion in total assets, Rs. 82.2 billion in advances and Rs. 116.7 billion in deposits as of December 31, 2007, the bank has grown its asset base more than twenty times in the first four years of its existence.
Opinions
The merged income statement represents activity primarily related to NIB Bank and only includes the relevant portion of the income generated at PICIC and PCBL. Due to the substantial growth in its lending activities a improved spreads, NIB Bank doubled its net mark up earned to Rs. 2.00 billion in 2007 from Rs. 1.00 billion in 2006.
Non-mark up income a1so recorded a growth of Rs. 105 million or 21 % over 2006. It is important to note that unlike many other banks, the bank did not enter into any trading or long positions in the equity markets, and its non mark up income was generated solely from its core operating activities. Before provisions therefore, the bank recorded a 73% growth in total revenue from Rs. 1.5 billion in 2006 to Rs. 2.6 billion in 2007, demonstrating the robustness of its business models.
On a consolidated basis, NIB accrued earnings from its subsidiaries and associates and from its investments in the funds managed by these affiliates. Consequently, compared to merged results, the bank reported a lower pre and post tax loss of Rs. 246 million and Rs. 111 million respectively.
The bank recorded a 280% increase in the size of its balance sheet as a result of the merger with PICIC and PCBL and the indigenous growth of NIB Bank through 2007. Total assets increased from Rs. 46 billion to Rs. 177 billion between 2006 and 2007, of which loans and advances increased 165% from Rs. 31 billion to Rs. 82 billion while the industry's loans grew by 10%. Investments increased by 488% to Rs. 39 billion, the bulk of investments being fixed income instruments of the Government of Pakistan. Total deposits also grew aggressively by 281% from Rs. 31 billion to Rs. 117 billion again as a result of the merger and the inherent growth of NIB Bank's deposits, whereas the industry grew by 19%.
Temasek Shareholding
Temasek Holdings is the investment arm of the Government of Singapore and is currently rated AAA/Ana by both Moody's and Standard & Poor's. Its mission is to create and maximize shareholder value as an active investor and shareholder of sucessful enterprises.
Temasek was established in 1974 and manages a diversified portfolio of more than US$ 100 Billion, focused primarily in Asia. Temasek is a major shareholder in companies involved in a wide range of businesses including financial services, telecommunications & media, transportation & logistics, real estate, infrastructure, industrial & engineering, energy & resources, technology and consumer & lifestyle. Some of the major investments of Temasek include DBS Bank, Singapore Airlines, SingTel, MediaCorp, Capital Land & Singapore Power.
Temasek's investment in NIB is its first investment in Pakistan. Through its subsidiary companies, Temasek has begun to increase its investments in the banking and financial sector. Some recent acquisitions/equity investments include stakes in Standard Chartered , Bank of China, China Construction Bank, Bank Danamon Indonesia, Bank International Indonesia, ICICI Bank (India), Hana Bank (Korea).
Company Information
Board of Directors
NAME | DGNIZATION |
Francis Andrew Rozario | Director/Chairman |
Tan Soo Nan | Director |
Phua Kok Kim | Director |
Thomas P. Sodano | Director |
Mahmudul Haq Bhuiyan | Director |
Syed Aamir Zahidi | Director |
Willie Wai Kong Chan | Director |
Khawaja Iqbal Hassan | Director / President & Chief Executive |
Aurangzeb Amin | Company Secretary |
Yameen Kerai | Chief Financial Officer |
Rizvi, Isa, Afridi and Angell | Auditors |
M. Yousuf Adil Saleem & Co. Chartered Accountants | Auditors |
Audit Committee
Tan Soo Nan | Chairman |
Syed Aamir Zahidi | Member |
Mahmudul Huq Bhuiyan | Member |
Aurangzeb Amin | Secretary |
Share Registrar
THK Associates (Pvt.) Limited,
Ground Floor, Modern Motors House, Beaumont Road, Karachi 75530
Registered Office
Muhammadi House
P.O. Box 6942
I.I.Chundrigar Road, Karachi 74000
UAN 111-333-111
E-mail head.office@nibpk.com
URL: www.nibpk.com
Branches in Lahore.
Regional Office
83-A, E-1, Second Floor, Main Boulevard, Gulberg III, Lahore
PABX: 042-5786008-25
Fax: 042-5878509, 042-5754166
Gulberg Branch
93-D-1, Main Boulevard, Gulberg III, P. O. Box No. 1358, Lahore
Bank Square Branch
2-Bank Square, Shahrah-e-Quaid-e-Azam, Lahore
Circular Road Branch
47/2 Watan Building, Circular Road, Lahore
Bund Road Branch
8 BS, 695-A Chohan Park, Revenue Estate, Main Bund Road, Sandan Kalan, Lahore
DHA Branch
38-Z, DHA Phase III, Lahore Cantt
PECO Road Branch
891, Block-D, Faisal Town, PECO Road, Lahore
Ichra Main Ferozepur Road Branch
158 Mohalla Rasul Pura, Ichra, Main Ferozepur Road, Lahor
Johar Town Branch
Plot No. 70, Block - R, Main Boulevard, Johar Town Lahore.
Gulberg Branch
Plot No. 23 - A, Block - D / 1, Gulberg - III, Lahore.
Egerton Road Branch
20-C, Kashmir Egerton Road, Lahore
Allama Iqbal Town Branch
24, Gulshan Block, Allama Iqbal Town, Lahore
Badami Bagh Branch
93-Badami Bagh, Lahore
Bank Square Branch
6, Bank Square, Shahra-e-Quaid-e-Azam, Lahore
Cavalry Ground Branch
29, Commercial Area, Cavalry Ground Lahore Cantt.
Circular Road Branch
Babar Centre, 51 Circular Road, Outside Akbari Gate, Lahore
DHA Phase-II Branch
Commercial Plot # 12, Block CCA, D.H.A. Phase II
DHA Phase-III Branch
178-Y, Phase III, Commercial Area, D.H.A., Lahore
Ferozepur Road Branch
Plot # 2/A Ideal Garden Ferozepur Road Lahore
Garden Town Branch
10-B Aibak Block, New Garden Town, Lahore
Ghazi Road Branch
2/1, Block –B, Guldasht Scheme, Lahore Cantonment , Ghazi Road, Lahore
Gulberg Branch
83-E, Main Boulevard, Gulberg III, Lahore.
Gulshan-e-Ravi Branch
16, Block-A, Gulshan Ravi, Lahore
Jail Road Branch
15 Shadman Colony, Jail Road, Lahore
Johar Town Branch
Plot # 1, Block E 1, Johar Town, Lahore
Model Town Link Road Branch
34-B, Phase III, Govt. Employees Cooperative Housing Society
Mughalpura Branch
13/B, Shalimar Link Road, Mughalpura, Lahore
Multan Road Branch
9-A Block Industrial Allama Iqbal Town Scheme More Multan Road, Lahore
Packages Branch
Shahra-e-Roomi, P.O. Amer Sidhu, Lahore
Shahdara Branch
364-366, Hasbast Mauza Fatehpuri, Shahdara, Lahore
Timber Market Branch
NWIII R.84, Ravi Road, Lahore
Wahdat Road Branch
19-A, Wahdat Road Lahore
WAPDA Town Branch
258 E-2, Wapda Employees Cooperative Housing Society, Lahore
Lahore Medical & Dental College
Tulspura, Canal Bank, North, Lahore
WAPDA Employee Housing Society
Wapda Employee Cooperative Housing Society Wapda Town , Lahore
Doctors Hospital - Johar Town
1521-G/1, Doctors Hospital, Canal Bank, Johar Town, Lahore
COMSATS Institute of Information Technology
Comsats, M.A. Jinnah Campus, Defence Road off: Raiwind Road, Lahore.
BRANCH MANAGEMENT STRUCTURE
BOM BDM BCIM
CSS RO's CSA
Customer Service Supervisor Relation Officers Credit Support Annalist
CRO
Customer Relation Officer
RM
Relation Manager
RO
Relation Officer
IT Officer
Cashier
BCM
Branch Collection Manager
Assign by the Head Office, not work under the BM
NIB CONSUMER BANKING PRODUCT
Auto finance
Charges in Rupees.
Description | Rupees |
Application processing | 4000/- |
Late payment | 500/- |
Cheque return | 500/- per Cheque return |
Earlier termination Cheque | 500/- of principle outstanding |
Vehicle repossessing | 500/- as per approval |
Issuance of duplicate NOC | Up to 1500/- |
Appraisal charges | Up to 7500/- |
PO change | 2000/- |
Auto Lease
Description | Rupees |
Documentation | 3000/- |
Front & fee | As per approval |
Delayed rental | 2.00 % per returned Cheque |
Cheque returned | 500/- per Cheque |
Earlier termination | 6.00 % of outstanding |
Broken period mark up | As per approved rate |
Vehicle possession | 50,000/- |
Issuance of duplicate transfer letter | 1500/- |
Change of assets Up to 1000 CC Above 1000 CC | 1500/- |
Property//Mortgage loan
Description | Rupees |
Application processing | 7500/- |
Appraisal fee | As per actual |
Legal fee | As per actual |
Cheque return | 600/- per Cheque |
Prepayment penalty | 5% of principle outstanding |
Loan enhancement fee | 5000/- |
Late payment | 500/- |
Litigation | As per actual |
NIB personal loan
Description | Rupees |
Application processing | 1% of loan or 1500/- whichever higher |
Life insurance premium | Accident 1.5% of loan |
Cheque return | 500/- per Cheque return |
Repayment penalty | 1st year 5%,2nd & on 3% on outstanding |
Late payment | 500/- or 10% of the due installment |
Small business loan
Facility charges | 1.5 of the loan or 2000/- (higher) |
Late payment | 10% of the installment |
Repayment | 5% of the outstanding |
Credit life insurance a) accident insurance b) full insurance |
1.5 % of the loan 3.0 % of the loan |
Enhancement & top up fee | 1500/- |
Nib committee
Services charges (for every new deal) | 3% of gross deposit amount |
ATM card
ATM card annual fee | 100/- |
ATM issuance fee | Nil |
ATM card reissuance in case if lose, stolen and damaged card | Nil |
ATM transaction service
Financial transaction (1 link & M_net) | 15/- |
Financial transaction (only M_net) | 05/- |
Lockers
Description | Small | Medium | Large |
Securities deposit(refundable) | Up to Rs 3500/- | Up to Rs 5000/- | Up to Rs7500/- |
Annual rent | Up to Rs 2500/- | Up to Rs 3500/- | Up to Rs 5000 |
Broken charges | Up to Rs 5000/- or actual, whichever higher | ||
Sale and purchase of securities
Sale & purchase of shares and securities | Up to 0.50% on the first 10,000 on the paid up value of minimum 125/- up to 10,000 0.20% will charged |
Charges of collection of return & dividend | Up to 0.30% on the amount of interest And Rs 100/- whichever is higher |
Agriculture finance
Inputs Loans Purchase of Fertilizer, Seed, Pesticide, Deisal, Water / Electricity & Labor etc.For Small Farmers as well as Farmers having above Subsistant Land Holding Against Proper Collateral Security & Guarantees with Group Life Insurance of Borrowers on his Cost Adjustable once in a Year14% P.A.
Three Years Revolving Credit Adjustable once in a Year No Limit Fixed Charge of Bank on Agriculture Land. Mortgage of Urban / Rural Property in Big Amount Loans. One Time Standard Loan Documents for Three Years.
Tractor Loans Purchase of Tractor or Agriculture Purposes For Farmers having Minimum
Land Holding of 5 Acres and above Registration of Tractor in Bank's Name with Comprehensive
Insurance of Tractor & Group Life Insurance of Borrower on his Cost 20% to 40% Cash Equity
14% P.A. Five Years Adjustable by 10 bi-Annual Installments Maximum up to Rs. =1.000
Charge of Bank on Agriculture Land & Tractor in Bank's Name Standard Loan Documents &
Higher Purchase Agreement with Two Guarantees
Product | Charges |
Kiosk transaction service | NIL |
Phone banking | NIL |
Direct pay | NIL |
Online transaction | NIL |
Cash guard
Monthly services charges Rs 1500/-
NIB promise Tern deposit
Monthly services charges Rs 1500/-
ITERNATIONAL BANKING
IMPORTER
Issuing letter of credit
L/C opening commission | Minimum charges up to Rs 2000/- |
Revalidation commission | As per L/C type |
Transfer of L/C to new beneficiary | As in opening new L/C |
L/C cancellation | 1000/- per cancellation |
Amendment | 1000/- |
L/C under " supplier under pay you account" | Commission at the time of opening L/C at the rate 0.40% |
Import bill
if 100% margin on current a/c | No mark up on import bill |
Advance payment
Advance remittance to supplier abroad against importer | Up to 0.10% on amount |
Import on consignment basis
Handling charges | 1500/- per consignment |
EXPORTER
Letter of credit
Advising | 1500/- |
Amendment | 1000/- |
Confirmation | 0.25% per quarter or 1000/- as per arrangement |
Transfer of L/C | 1000/- |
Export bill
Document sent to other bank for negotiation L/C | 1000/- |
Reimbursement payment | US $ 25/- |
Collection
Clean | 3000/- per clean |
Documentary exchange | 1000/- |
SALAAM BANKING
Basic concept is …………RESPECT OF CUSTOMER
having long term relationship with customers & wide distribution.
Customer segmentation in SALAAM BANKING LOAN
BUSINESS LOAN term & condition
Maximum loan Rs 30, 00,000
Minimum loan Rs 10,000
Maximum payback period 10 years
Minimum payback period 3 months
Minimum installment Rs 1000
Late payment charges Rs 200 per installment
Facility fee 2% of loan amount or
Rs 1,000 whichever is high.
BUSINESS LOANE LIGIBILTY
Nationality Pakistani
Location Approved branch
Operational area
Minimum age 21 years
Maximum age 63 years at the time of loan maturity
Minimum income 4000/pm
VERIFICATION REQURIMENT
National identy (CNIC)
Current residence address
Business identy
Business address
Year in business
Telephone requirement
* MARKET CHECK
The branch credit initiation manager will obtain feedback from other individual of the market.
HANDLING YOUR COMPLAINTS AND FEEDBACKS
1. INTRODUCTION
At NIB Bank we are committed to the delivery of excellence through the highest
Customer Service Standards.
Whether you are providing feedback, paying a compliment or making a complaint,
your input is the key to inspiring our products and services.
1.1 Providing Feedback
Your feedback helps us to maintain a high standard of service and provide products
and services that satisfy your needs. If you have a suggestion about how we can
improve our service please let us know.
1.2 Paying a Compliment
If you have received commendable service from our staff, we would like to hear about it. Your positive feedback would be a source of motivation for our staff and we will try
our level best to improve our services.
1.3 Making a Complaint
If you have any concerns about a procedure, compliance issue, or have encountered a problem with our service, we want you to tell us about it. We ensure you that all
matters are dealt seriously by the Bank and in total confidence.
We are sensitive to your needs and would like to hear any complaints you may have so that we can provide a better service experience to you. We are here to listen to you and help resolve your complaints as soon as possible.
This Leaflet / brochure outlines the simple process we have designed for our
customers to provide us with feedback and complaints.
2. COMPLAINTS AND FEEDBACK
2.1 Procedure
If you are a customer and have a complaint or concern, please do not hesitate to
contact your branch. In most cases, our front staff at your branch should be able to
resolve the problem; if not you should ask to speak to the Branch Manager, who will
undertake further investigation and action. Should you require any assistance with
logging your complaint, you may ask for Complaint Logging Form which is also
available at the counter. Fill it out giving necessary details; our branch staff will be
pleased to help you in this regard.
Alternatively, you can e-mail us at complaints.compliments@nibpk.com, and send
your complaints or feedback. Or, if you do not have access to a computer, please
contact our Customer Experience department at Tel: 021-111-333-111 ext 373 &
349. You can also fax us your complaint at 021-2416071
You are welcome to write to our Customer Experience Department directly. You will
receive an acknowledgement of your complaint. The Customer Experience Department
2.1 Service Level Commitment
We aim to resolve issues within ten working days of receiving your complaint. Some
matters are more complex and can take a little longer to resolve. If that is the case, we will keep you informed of our progress.
2.2 Complaint Resolution
We expect that our front line staff, managers or Customer Relation Team will
completely resolve the issues you raise. However, one of the following may occur:
a) Despite our best efforts, you believe your complaint has not been
satisfactorily dealt with; or
b) After 45 days of receipt by the Bank of your complaint, the matter has not
been resolved.
However, before raising the matter with Banking Mohtasib, we hope that you will
give us full opportunity for resolving your complaints.
SOURCES OF COLLECTION DATA
a) On web site
b)
Personally go into bank & collect data.
Multan Road Branch
9-A Block Industrial Allama Iqbal Town Scheme More Multan Road, Lahore
