Evaluation of Mcb Bank Limited Finance Essay

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ISFHANI and ADAMJEE families in Kolkata founded Muslim Commercial Bank on July 9, 1947. Muslim Commercial Bank is not an overnight success story rather good track of services are responsible for the leaps and bounds progress. After the partition of the Indo-Pak subcontinent, the bank moved to Dhaka from where it commenced business in August 1948. In 1956, the bank transferred its registered office to Karachi, where the head office is presently located. Thus, the bank inherits a 54-year legacy of trust in its customers and the citizens of Pakistan.

MCB is in it's over 50 years of operation. It has a network of above than 1200 branches all over the Pakistan with business establishments in Bangladesh, Sri Lanka and Bahrain. The branch break-up province wise is Punjab (57%), Sindh (21%), NWFP (19%) and Baluchistan (3%) respectively.

Muslim Commercial Bank has an edge over other local banks, as it was the First Privatized Bank. The State Bank of Pakistan has restricted the number of branches (minimum of 200 branches and specific Capital must to run further) that can be opened by foreign banks; an advantage of Muslim Commercial Bank capitalizes due to its extensive branch network in all over Pakistan. Fourteen years after privatization, Muslim Commercial Bank is now in a consolidation stage designed to lock in the gains made in recent years and prepare the groundwork for future growth. The bank has restructured its asset portfolio and rationalized the cost structure in order to remain a low cost producer. MCB BANK has become the only bank to receive the Euro money award for the fourth time in the last five years. MCB won the "Best Bank in Pakistan" in 2005, 2004, 2003, 2001, and in 2000 the "Best Domestic Bank in Pakistan" award.

During the last fifteen years, the Bank has concentrated on growth through improving service quality, investment in technology and people, utilizing its extensive branch network, developing a large and stable deposit base and managing its non-performing loans via improved risk management processes.

Corporate client includes Public Sector Companies, as well as large local and Multi-National concerns. Muslim Commercial Bank is also catering to the growing middle class by providing new asset and liability products. The bank provides 24 hours banking convenience with the largest ATM network in Pakistan.

The performance of Muslim Commercial Bank was badly affected by bureaucrat Government. In January 1974, Bhutto Government following the Bank Act 1974 subsequently in June 1974 nationalized Muslim Commercial Bank, Premier Bank Limited merged with Muslim Commercial Bank.

In late 1990's after a long period of time newly established democratic Government of Pakistan has decided to sell nationalized assets of country for better utilization. In April 1991, Muslim Commercial Bank became Pakistan's First Privatized Bank. The Government of Pakistan transferred the management of the Bank to Nishat Group, a group of leading industrialists of the country by selling 26% shares of the bank. In terms of agreement between the Government of Pakistan and the Nishat Group, the group making their holding 50% has purchased additional 24% shares. Now, 25% is purchased by the Government, which was being sold in 2004.

Muslim Commercial Bank besides being money financial organization has rendered invaluable services in the economics and social developments of our country. Muslim Commercial Bank today, represents a bank that has grown with time, experience and Pakistan. MCB is a major financial institution in Pakistan in its scope and in its size. It symbolizes a fully-grown tree. Evergreen, strong, and firmly rooted. After that Muslim Commercial Bank name changes to MCB BANK LIMITED.

"To be the leading financial services provider, partnering with our customers for a more prosperous and secure future".

"We are a team of committed professionals, providing innovative and efficient financial solutions to create and nurture long-term relationships with our customers. In doing so, we ensure that our shareholders can invest with confidence in us".


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Evaluation Of Mcb Bank Limited Finance Essay. (2017, Jun 26). Retrieved July 21, 2024 , from

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