The Pakistan Banks Association (PBA) has said that the banking sector has made a robust contribution to Pakistan’s ongoing economic revival, citing a record surge in private sector credit during the current financial year, reported 24NewsHD TV channel on Friday.
Commercial banks have provided Rs1.5 trillion in financing to the private sector in FY2026, a surge in liquidity that is driving 8.33 percent growth in large-scale manufacturing (LSM), reflecting the sector’s role in supporting industrial output and job creation.
PBA Chairman Zafar Masud said, “The latest data demonstrates a clear fundamental economic reality: when government borrowing moderates, banks immediately and effectively deploy capital to business, industry, and agriculture.”
“The banking sector has pivoted liquidity from sovereign debt to the productive private economy, serving as the primary engine for the recent industrial recovery,” he added.
