DPC doubles depositor cover, fund crosses Rs200bn

June 11, 2026 (MLN): The Deposit Protection Corporation's (DPC) Deposit Protection Fund surpassed Rs200bn in FY2024-25, the SBP subsidiary said in its fifth annual report released Wednesday, as net profit climbed to Rs52.28bn.

The report, covering the year ended June 30, 2025, also disclosed that DPC doubled its per-depositor coverage limit to Rs1m in October 2024 the second upward revision in six years extending full protection to 96% of eligible depositors across all member banks.

Total domestic deposits with DPC's 30 member banks surpassed Rs35.7tr by June 2025, up 15% year-on-year, comprising Rs26tr in conventional deposits and Rs9.5tr in Islamic deposits.

Of 91.78m total depositors, 90.83m or 99% qualified as eligible under the Corporation's protection framework.

Premium income from member banks rose to Rs26.2bn in FY25 from Rs21.97bn a year earlier, while investment income held broadly steady at Rs26.27bn.

The Corporation's investment portfolio reached Rs200.07bn, spread across Market Treasury Bills (Rs45.6bn), Pakistan Investment Bonds (Rs109.1bn), and GoP Ijara Sukuk (Rs45.4bn).

The report also highlighted a legislative milestone: amendments to the DPC Act 2016 passed by Parliament in October 2024 expanded the Corporation's mandate from a "Pay-box only" to a "Pay-box Plus" model.

This enables DPC to provide financial support for problem bank resolution including bridging asset-liability gaps, issuing guarantees, and contributing to reconstruction schemes  in addition to its existing depositor reimbursement function.

Islamic banking continued to outpace the broader sector, with Islamic deposits growing 29.5% against roughly 10% growth in conventional deposits, taking Islamic banking's share to over one-quarter of the industry.

Copyright Mettis Link News