First Women Bank Limited (“FWBL” or the “Bank”) was incorporated on November 21, 1989, as a unique financial institution with a mandate to support and promote women's economic empowerment in Pakistan. As Pakistan's first and only bank specifically established to advance women's financial empowerment, the Bank carries a mandate of financial inclusion alongside conventional commercial banking objectives.

The Bank was established to cater to the financial and banking needs of women, with a strategic mandate to serve clients across all segments of the economy, including micro, small and medium enterprises (SMEs), as well as the corporate sector. Historically, the Bank was majority-owned by the Government of Pakistan through the Ministry of Finance. However, in Apr'26, the Government divested its shareholding in First Women Bank Limited (FWBL) to the Abu Dhabi-based International Holding Company (IHC) through its subsidiary, Eve Holdings RSC Limited, marking a significant transition in the Bank's ownership structure and strategic direction.

The Bank's footprint remains concentrated in key urban and commercial centers, while expansion into secondary cities and underserved regions presents a significant growth opportunity. Leveraging its established presence, FWBL continues to focus on strengthening its market position and enhancing customer outreach through a broader geographic presence. FWBL operates through a network of forty-two (42) branches across Pakistan as of CY25, unchanged from CY24. The Bank offers a comprehensive suite of conventional banking products and services, catering to retail customers, corporates, SMEs, and other commercial entities. Its product portfolio includes current and savings accounts, term deposits, consumer and business financing, trade finance facilities, cash management solutions, and digital banking services. FWBL maintains full online connectivity across its branch network, enabling customers to access basic online banking, ATM services, and other electronic delivery channels. The Bank's diversified service offering and customer-centric approach support its objective of fostering financial inclusion while serving the evolving banking needs of its target segments.

The Ministry of Finance (MoF) held a majority equity stake of 82.6% in First Women Bank Limited (FWBL). Over time, the Ministry of Finance had progressively increased its ownership in FWBL through multiple tranches of capital injections. On Apr’26, the Government of Pakistan divested its entire 82.64% shareholding in FWBL to the Abu Dhabi-based International Holding Company ("IHC" or the "Company") through its subsidiary, Eve Holdings RSC Limited, marking a significant milestone in the Country’s privatization programme and bringing to a successful conclusion a long pending effort to privatize the Bank. The Company is currently in the process of acquiring the remaining 17.36% shareholding from minority shareholders to complete the transaction. The remaining shareholding is distributed among five major commercial banks in the Country: National Bank of Pakistan (NBP), Habib Bank Limited (HBL), MCB Bank Limited (MCB), United Bank Limited (UBL), and Allied Bank Limited (ABL).

Subsequent to the successful privatization, ownership of First Women Bank Limited has been transferred from the Government of Pakistan to EVE Holding RSC Limited. This privatization is expected to attract credible strategic partners and facilitate the infusion of private sector expertise, particularly in areas such as operational efficiency, technological innovation, and customer-centric service delivery. Moreover, the transaction reflects continued foreign investor confidence in Pakistan’s financial sector, with expectations that private ownership will unlock growth potential through improved efficiency, innovation, and service delivery.

The Bank’s business acumen is expected to undergo a meaningful shift from public-sector orientation to a commercially driven, performance-focused strategic framework under the new ownership of EVE Holding RSC Limited. As a dedicated investment holding entity established for the acquisition, the new sponsor is positioned to introduce private-sector discipline, enhanced governance practices. Going forward, the Bank’s business acumen will increasingly be shaped by the quality of strategic execution, depth of management expertise introduced by the sponsor, and its ability to align the Bank’s niche mandate with evolving market dynamics.

The successful completion of the acquisition reflects the sponsor’s adequate financial wherewithal and demonstrated ability to mobilize capital, indicating access to both internal and external funding channels. International Holding Company (IHC), headquartered in Abu Dhabi, UAE, is one of the region's largest diversified investment holding companies with a broad portfolio spanning asset management, healthcare, agriculture, food production, real estate, construction, utilities, technology, financial services, and industrial sectors. Listed on the Abu Dhabi Securities Exchange, IHC has evolved into a global investment platform with interests across multiple geographies and industries. The Company pursues a growth-oriented investment strategy focused on acquiring and developing high-quality businesses, creating long-term value through operational excellence, strategic partnerships, and capital deployment. Backed by a strong financial profile and substantial asset base, IHC continues to expand its global footprint through investments in key sectors and emerging growth opportunities. The offshore incorporation further suggests potential linkage with international capital pools, which may support future capital injections, if required. 

Following the change in ownership, a new Board of Directors was constituted in Apr'26. The overall governance and strategic oversight of the Bank rests with a seven-member Board comprising three Independent Directors and four Non-Executive Directors. While the new Board structure has been established, the board elected Mr. Ali Rashed Al Rashedi as the new Chairman of the board of FWBL. This transition is expected to support the Bank's evolving strategic direction under its new ownership framework.

All the board members have diverse work experience background, with exposure in areas such as investment management, banking, finance, technology, energy, infrastructure, legal affairs, and corporate governance. Ms. Dalia Khorshid -Non-Executive Director has over 30 years of global experience in various leadership capacities working within the investment banking and corporate finance. In addition, she has served as the Minster of investment for the Government of Egypt. She currently serves as Group CEO and Managing Director of Beltone Financial Holding, and she also serves as a Board member of various companies including First Women Bank Limited. Mr. Adnan Zafar - Non-Executive Director is Group Chief Financial Officer at Avalora Holding, a subsidiary of International Holding Company UAE. He is a Fellow Chartered Accountant Pakistan with over 20 years of experience in banking. He also has experience in asset management, corporate governance, mergers and acquisitions, strategic planning, taxation, and financial reporting. Mr. Ali Rashed Al Rashedi - Non-Executive Director serves as CEO of International Resources Company and International Aviation Company, and Business Development Director at International Holding Company. He also serves as a board member of various other companies. He has over 12  years of experience in investment management, mergers and acquisitions, strategic planning, business development, and corporate governance. Mr. Hamdan Mohammed AlDahmani - Independent Director serves as Managing Director of Celestial Holding and Chairman of board of directors at Reem Community Bank and an executive committee member at AlDhara Group. He has over 12 years of experience in equity investments, IPOs, mergers and acquisitions, portfolio management, risk oversight, and strategic planning. Mr. Nayef Musallem bin Hamrour Al Ameri - Independent Director has over 15 years of experience in private, government and entrepreneur sectors in both UAE and UK London with diversified experience within investment banking, defense technology and manufacturing within the government, and Investor. He is Founder and CEO of Emerco Energy and Co-Founder of First.Tech Group. He also has experience in capital markets, structured finance, corporate strategy, investment management, and corporate governance. Mr. Suliman Alfallaj - Independent Director is Co-Founder and former CEO of Rasan Group and Co-Founder of First.Tech Group. He has experience in fintech, insurtech, govtech, artificial intelligence-enabled businesses, governance, risk management, and capital markets. Mr. Daud Bin Farooq - Non-Executive Director is a UK-qualified solicitor and serves as Legal & Contracts Manager at PAL Cooling Holding LLC. He has over 17 years of experience advising on corporate/commercial matters, acquisitions, real estate development projects, leasing, investments in off-shore jurisdictions, distribution and services, employment and potentially contentious matters.

The Board discharges its oversight responsibilities through four dedicated Board-level committees: (i) the Board Human Resource, Nomination & Compensation Committee (BHRNCC), (ii) the Board Audit Committee (BAC), (iii) the Board Risk & Compliance Committee (BRCC), and (iv) the Board Information Technology Committee (BIT). These committees support the Board in providing effective governance, oversight, and strategic guidance across key functional areas. Committee meetings are convened on at least a quarterly basis, while the attendance and participation of Board members are considered satisfactory, reflecting an appropriate level of engagement in the Bank's governance processes.

M/S BDO Ebrahim & Co., Chartered Accountants, classified in category 'A' by SBP and having a satisfactory QCR rating, were the external auditors. The auditors expressed an unqualified audit opinion on the financial statements of CY25 with a material uncertainty paragraph relating to going concern, specifically noting that the Bank's paid-up capital (net of losses) stood below the SBP's Minimum Capital Requirement of PKR 3 billion by PKR 0.704 billion at year-end.

The Bank is designed with a functional structure, where each division is overseen by divisional heads who are responsible for their respective areas of expertise. These divisional heads, along with the various specialized management committees, maintain direct reporting lines to the CEO.

Mr. Farrukh Iqbal Khan - CEO of First Women Bank Ltd., is a seasoned banker with over 32 years of experience across credit, operations, digital banking, and mutual funds. He began his career at the State Bank of Pakistan and has since held senior roles at Askari Bank and served on the boards of 1 Link, AGICO, and AIM. He holds an MBA, is CISA and CICA certified, and has completed Directors Education from PICG. Mr. M. Farrukh - CFO having more than 21 years of experience and having strong track record in financial leadership roles across multiple sectors. He is serving as the CFO of FWBL since January, 2022 and prior to this, he served as Head of Financial Control & Policy since Apr'20. His earlier roles include CFO & Company Secretary at Pak Oman Asset Management Company Ltd. and Chief Financial Officer at Unity Foods Limited, Unit Head-Internal Audit in Askari Bank Limited, Head of Internal Audit and Company Secretary in Askari Investment Management Limited. Mr. Furqan Yaser - Company Secretary is a seasoned legal professional currently serving as Company Secretary and Head of Legal at First Women Bank Limited, where he has been associated for nearly a decade. Since July 2015, he has led the bank’s legal affairs and additionally took on the role of Head of Financial Risk Management Unit in Jan'18. His expertise spans legal administration, company law, and regulatory risk management. Mr. Aamir Zuberi - Chief Risk Officer is a seasoned risk management professional. He has held the position of Chief Risk Officer (CRO) at Askari Bank since November 2018. With over 18 years of experience at Habib Bank Limited, he held key leadership roles including General Manager Risk Management for commercial and retail lending, and later as GM and Senior Credit Officer in Corporate Banking. His extensive career reflects deep expertise in credit risk, corporate banking, and strategic financial oversight. Ms. Zarina Sial - Head of Compliance is a seasoned professional with nearly three decades of experience. She has held this pivotal role since Mar'96, demonstrating a longstanding commitment to regulatory oversight and institutional integrity. Her extensive tenure reflects a deep expertise in compliance and governance within the banking sector.

The new shareholders remain committed to strengthening the Bank’s management team through investment in human capital, induction of experienced professionals, and addressing key management gaps. This focus is expected to enhance organizational capability, governance standards, and execution of the Bank’s strategic objectives.

The Bank operates through multiple management-level committees to oversee day-to-day affairs, including the Management Committee (MANCOM), Asset and Liability Committee (ALCO), Credit Committee, Compliance Management Committee (CMC), IT Steering Committee, Risk Management Committee, and Disciplinary and Grievance Committee. These structures support sound governance and disciplined decision-making.

The Bank's core-banking system, "AutoBanker 3" continued automating the operations. The software ensures efficient information retrieval and report generation while additional security measures are in place. The software also includes an audit trail that records a log of activities to improve monitoring. On the digital front, the Bank has embarked upon a comprehensive transformation agenda under its new ownership. The sponsor intends to modernize FWBL's technology infrastructure through end-to-end enhancement of its core banking platform, increased automation of operational processes, and deeper integration of digital service channels. The strategic roadmap includes the deployment of artificial intelligence (AI) across credit underwriting, customer analytics, and operational functions to improve efficiency, strengthen risk management, and enhance customer experience. In addition, FWBL is expected to leverage the technological capabilities and fintech ecosystem of the IHC Group, including the Judan Financial platform, to accelerate digital innovation and broaden its product offerings. These initiatives are expected to improve operational scalability, strengthen digital banking capabilities, and support the Bank's long-term growth strategy in an increasingly technology-driven financial services landscape.

FWBL's risk management framework, overseen by the Board Risk & Compliance Committee, includes independent functions like Corporate & Consumer Credit Risk, SME & Other Products Credit Risk, Enterprise Risk Management, Credit Administration, and Information Security. The internal Risk Rating Module is being used by the Bank. The module supports the Bank in its Obligor Risk Rating (ORR) process by adding more objectivity to the credit appraisal process. The Bank has assigned a to 40% of its obligors under "Good and above" credit risk rating, while another 40% fall under the "Marginal and above" category. Approximately 4% of obligors are rated under "Overdue but not Classified and above," and 8% are categorized under "Loss and above." The remaining 9% of obligors are currently unrated.

During CY25, Pakistan’s banking sector’s total assets grew by approximately 17.8% YoY, while investments surged by ~31.1% to PKR ~39.1trln (CY24: PKR ~29.8trln). Net advances of the sector declined by ~6% to PKR ~14.9trln (CY24: PKR ~15.8trln). Non-Performing Loans (NPLs) decreased by 9.7% YoY to PKR ~964bln (CY24: PKR ~1,068bln). The Capital Adequacy Ratio (CAR) averaged 20.8% (CY24: 20.6%), slightly below historical averages due to higher risk-weighted assets and a shift toward low-yield government securities, yet capitalization remains adequate to absorb potential shocks. While the Advances to Deposit Ratio (ADR) was reported at 37.5% (CY24: 49.7%), which appears higher relative to declining advances, because deposit growth outpaced lending activity. This reflects a cautious lending stance by banks in a challenging macroeconomic environment, where risk-averse behavior and liquidity accumulation resulted in slower credit deployment, pushing the ADR downwards. In a lower policy rate environment, coupled with high operating costs and reduced lending, the sector faced margin pressure, leading to moderated profitability by end-CY25, despite robust capitalization and improving asset quality. (Source: SBP Compendium). Amid the prevailing operating environment, First Women Bank Limited demonstrated improvement in its financial profile during CY25, supported by enhanced profitability and growth in its deposit base. The Bank’s deposits increased by ~18.7%, reflecting improved depositor confidence and strengthening liquidity indicators. Meanwhile, the advances portfolio slightly declined during CY25, leading to a reduction in the Advance-to-Deposit Ratio (ADR) to ~18.9% (CY24: ~23.4%). The lower ADR indicates a relatively cautious lending stance and reflects the Bank’s continued focus on maintaining liquidity and balance sheet stability amid ongoing transition phase during CY25. 

FWBL is a small-scale scheduled commercial bank, with total assets of PKR 61bln as at CY25, placing it among the smaller-tier scheduled banks in Pakistan's banking sector. The Bank is undergoing a strategic transformation under its new ownership structure, with a focus on strengthening its franchise, expanding its customer base, enhancing digital capabilities, and improving overall competitiveness. Successful execution of this strategy is expected to strengthen the Bank’s market position and support its long-term growth trajectory. At the end of CY25, FWBL's total deposit base grew to PKR 37.5bln (CY24: PKR 31.6bln), representing an 18.7% YoY increase, reflecting improving deposit mobilization capacity. Customer deposits remained the primary funding source and were reported at PKR 36.8bln (CY24: PKR 30.9bln), while deposits from financial institutions stood at PKR 0.7bln (CY24: PKR 0.7bln). The growth in deposits was primarily supported by improvement in customer confidence and stability in institutional relationships; however, the Bank’s relatively concentrated depositor profile continues to expose it to funding concentration risk, where reliance on a limited number of large depositors may create liquidity pressure under stressed conditions. In terms of deposit composition, current deposits accounted for 13.8% of total deposits (CY24: 15.2%), while savings deposits constituted the largest share at 59.6% (CY24: 59.8%), reflecting the Bank’s continued reliance on profit-bearing deposit products. Term deposits and other accounts contributed 23.3% (CY24: 22.3%) to the overall deposit mix. The comparatively lower proportion of granular retail deposits indicates limited retail penetration and constrained franchise diversification relative to peer banks. Nevertheless, the improvement in the deposit base during CY25 reflects gradual stabilization in the Bank’s operations and improving depositor sentiment following the change in ownership structure. Meanwhile, the Bank’s overall market share remained modest and was reported at ~0.10% (CY24: ~0.09%), reflecting its limited systemic presence within the banking sector. Despite its small size, FWBL occupies an irreplaceable institutional position in Pakistan's landscape as the sole scheduled commercial bank with a women-centric mandate, giving it a disproportionate policy importance relative to its financial scale. Going forward, the expected strategic and financial support from the new sponsor is anticipated to strengthen the Bank’s relative positioning, improve depositor confidence, and support diversification in the deposit mix over the medium term.

Th Bank operated in a challenging banking environment characterized by declined interest rates and margin compression across the industry during CY25. Despite its comparatively small franchise and limited earning asset base, the Bank demonstrated resilience in earnings performance through effective management of funding costs and stabilization in core operations. During CY25, FWBL's total mark-up earned declined sharply by 47% to PKR 7.45bln (CY24: PKR 10.9bln), reflecting the significant reduction in the policy rate environment. Investment-related markup remained the primary source of income for the Bank and was reported at PKR 6.3bln (CY24: PKR 9.5bln), constituting the substantial majority of total markup income, reflecting FWBL’s predominantly investment-heavy asset mix, with investments representing ~79% of total assets at end-CY25. The portfolio remained concentrated in floating-rate government securities, which provided relatively quicker asset repricing benefits and partially mitigated valuation risk during the changing interest rate cycle. However, the Bank’s high dependence on such instruments continues to limit earnings diversification and exposes profitability to movements in benchmark interest rates. Markup earned on advances remained comparatively modest due to the Bank’s small advances portfolio and conservative lending strategy. On the liability side, markup expenses declined significantly by 40.5% to PKR 5.6bln (CY24: PKR 9.5bln), mainly attributable to lower funding costs and reduction in the Bank’s borrowing base. This relatively faster repricing of liabilities supported improvement in net markup income, which increased by 20.3% to PKR 1.8bln (CY24: PKR 1.5bln), despite the decline in overall markup earned. The asset yield of the Bank decline to 12.9% (CY24: 19.2%). Whereas, the cost of funds improved to 9.8% (CY24: 15.3%). Consequently, the spread of the Bank narrowed to 3.1% at the end of CY25 (CY24: 3.9%) reflecting continued pressure on earning asset yields in the prevailing interest rate environment. This underscores the need for the Bank to reassess its asset deployment strategy and explore avenues to optimize yield without compromising credit quality.

The Bank’s total income increased to PKR 1.95bln (CY24: PKR 1.7bln), reflecting gradual stabilization in core operations despite the comparatively small scale of the franchise.Within this, non-markup income declined by 33.2% YoY to PKR 132.2mln (CY24: PKR 197.8mln), mainly due to lower other income and subdued treasury-related gains. However, fee and commission income increased by 26.3% to PKR 97.0mln (CY24: PKR 76.8mln), indicating gradual improvement in transactional banking activity and customer-related business generation. Dividend income also improved significantly and stood at PKR 29.2mln (CY24: PKR 5.7mln), partially offsetting the decline in other non-core income streams. On the expense side, non-markup expenses increased by 12% YoY to PKR 1.8bln (CY24: PKR 1.6bln), primarily attributable to inflationary pressure on administrative and personnel expenses, alongside continued investment in operational infrastructure. Consequently, the Bank reported a modest improvement in operating profitability, with profit before taxation increasing significantly to PKR 361.9mln (CY24: PKR 267.8mln), reflecting improved spread income and relatively better operating leverage. However, a net credit loss allowance charge of PKR 181mln reversed this to a pre-tax profit, reflecting the Bank’s cautious stance towards credit risk management and legacy asset quality concerns. Accordingly, profit after taxation increased by 112.7% to PKR 168.2mln (CY24: PKR 79.1mln), representing a notable recovery in bottom-line profitability. Despite the improvement in earnings, the Bank’s profitability indicators continue to remain constrained by its limited scale of operations, concentrated earning asset mix, and comparatively weak income diversification profile. Going forward, sustaining profitability through enhancement in core banking operations and improving non-funded income streams will remain important for strengthening the Bank’s financial risk profile and internal capital generation capacity.

The new sponsors are in the process of developing a comprehensive transformation strategy aimed at repositioning FWBL as a stronger and more commercially sustainable banking franchise and expanding the Bank’s market presence to support sustainable long-term growth. The strategic roadmap primarily focuses on strengthening the Bank’s capital base, expanding its geographical footprint, enhancing operational capabilities, and modernizing the overall technological infrastructure. As part of its evolving growth strategy, the Bank intends to strengthen its market presence through an optimal distribution model that balances physical expansion with digital channel development. This approach is expected to improve customer outreach, support business growth, and enhance operational efficiency while adapting to changing customer preferences and market dynamics. In parallel, the sponsors have committed to provide capital support in a phased manner in line with the capital injection plan and timelines approved by the State Bank of Pakistan. This support is expected to strengthen the Bank’s capital position, facilitate compliance with regulatory capital requirements, and provide a solid foundation for future growth. The transformation plan also includes rebranding of the Bank under a broader business mandate, reflecting management’s intention to transition from a niche women-focused institution towards a more diversified banking platform while preserving its core identity. Furthermore, the strategy places significant emphasis on digital transformation and technological modernization through automation of operational processes, integration of digital banking channels, deployment of AI-based analytics, and upgradation of core banking systems. Management also highlighted that investment in human capital development and governance enhancement, is expected to improve operational efficiency, strengthen risk management capabilities, and support long-term competitiveness. Successful execution of the strategy remains critical, as the Bank’s ability to scale operations, diversify earnings, and improve franchise strength will largely depend on timely implementation and sustained sponsor support. 

At the end of CY25, FWBL’s financing portfolio remained relatively modest in line with the Bank’s small-scale operations and conservative lending strategy. Gross advances stood at PKR 7.1bln (CY24: PKR 7.4bln), reflecting management’s continued focus on preserving asset quality. Meanwhile, the Bank’s deposit base increased at a comparatively stronger pace, resulting in moderation in the Advances-to-Deposit Ratio (ADR). The persistently low ADR reflects the Bank’s under-deployment of funds towards financing activities and continued reliance on investments in government securities as the primary earning asset class, limiting balance sheet diversification and core intermediation capacity. The Top 20 Advances to Total Advances concentration remained intact at 31% (CY24: 31%). Sector-wise, the food and beverage sector remained the largest contributors to the advances portfolio. Its advances remained inact at PKR 3.4bln (CY24: PKR 3.4bln) constituting 34% of the total advances portfolio and remaining the largest sectoral exposure. While, textile advances increased by 13% to PKR 1.8bln (CY24: PKR 1.5bln), On a segment basis, advances to the private sector increased to PKR 7.4bln (CY24: PKR 7.5bln), whereas exposure to the government/public segment declined to PKR 2.8bln (CY24: PKR 2.8bln). On the asset quality front, non-performing loans (NPLs) also remained elevated and were reported at PKR 2.2bln (CY24: PKR 2.4bln). The Top 20 NPLs to Total NPLs concentration stood at 93% (CY24: 99%). Sector-wise, with the textile sector contributing the largest NPLs at PKR 843mln (CY24: PKR 849mln) following by whole and retail trade sector.
Despite the slight reduction in absolute NPLs, the infection ratio remained high at 29.2% (CY24: 28.9%), reflecting persistent stress within the Bank’s comparatively small financing portfolio. Nevertheless, the marginal improvement in infection indicators suggests some stabilization in asset quality during the year. The Bank maintained sizable provisioning coverage against problem credits, which continued to provide a cushion against potential credit losses. Overall, FWBL’s credit risk profile remains constrained by weak financing penetration, elevated infection levels. Moreover, persistent NPL overhang reflects a legacy portfolio of distressed loans that have proven difficult to resolve through recoveries, settlements, or write-offs, and represents the single most material credit risk concern for the Bank. 

At the end of CY25, FWBL's investment portfolio stood at PKR 47.8bln (CY24: PKR 52.1bln), representing a decline of 8.1% YoY, primarily driven by the maturity of PIBs. Despite the contraction in the overall investment book, the portfolio continued to reflect the Bank’s preference for low-risk and highly liquid earning assets amid cautious balance sheet deployment and limited advances growth. Government securities continued to dominate the investment portfolio, constituting the overwhelming majority of total investments, thereby underscoring the Bank’s conservative investment strategy and limited appetite for higher-risk asset classes. Out of total investment book, PIBs represented a majority 89% of the overall portfolio, with mark-to-market gain recorded at PKR 370mln, while the remaining investments were held in T-Bills. The Bank’s prudent strategy in government securities ensures capital preservation, mitigates risk secures steady returns and enhances financial stability. Going forward, changes in the interest rate environment may result in valuation gains on the Bank’s floating-rate PIB portfolio, the associated impact is expected to be supported by improved spreads, enhanced profitability, and gradual strengthening of the equity base

The investment mix continued to be concentrated in government securities, reflecting a prudent risk strategy, effective liquidity management, and a focus on safeguarding capital. FWBL's liquidity profile improved materially during CY25, driven by the combination of deposit growth and a significant reduction in borrowings. Total deposits grew by 18.7% to PKR 37.5bln at the end of CY25 (CY24: PKR 31 .6bln), reflecting improved retail and institutional deposit mobilization. The deposit mix is dominated by savings deposits (PKR 22bln with SA ratio of 60% of total deposits) and current accounts (PKR 5.2bln with CA ratio of 14%), resulting in a CASA ratio of approximately 73% — indicating a cost-efficient, sticky funding base. During CY25, the borrowings declined sharply by 38.6% to PKR 1 7.2bln at the end of CY25 (CY24: PKR 28.1 bln), primarily due to a reduction in Repurchase Agreement (Repo) borrowings from PKR 27bln to PKR 16bln. Overall, the Bank’s liquidity and funding profile remained supported by strong liquid asset coverage, a stable CASA base, and lower leverage; however, funding concentration and the comparatively limited retail franchise continue to remain key structural constraints from a long-term funding diversification perspective.

The paid-up capital of the Bank stood at PKR 2.2bln as of end-CY24 (CY23: PKR 2.1bln). As a public sector bank, FWBL was previously subject to a reduced Minimum Capital Requirement (“MCR”) of PKR 3.0bln, along with the requirement to maintain a Capital Adequacy Ratio (“CAR”) of at least 18% at all times. Furthermore, the Bank was restricted from declaring dividends until its paid-up capital and reserves reached PKR 6.0bln. Following the privatisation of the Bank, the concessionary MCR requirement applicable to public sec tor entities ceased to apply. Consequently, FWBL is now required to comply with the standard regulatory MCR requirement of PKR 10.0bln prescribed by the State Bank of Pakistan for commercial banks. As per management, the new sponsors have committed to inject approximately PKR 6.8bln over a five-year period under the agreed roadmap with regulators. The proposed capital injections are expected to support MCR compliance, strengthen capital buffers, and enable future business expansion. During CY25, the Bank's total equity remains largely intact to PKR 3.4bln during the year (CY24: PKR 3.2bln). As of CY25, the Bank's Capital Adequacy Ratio (CAR) stood at a robust 29.27% (CY24: 31.71%). Notably, the Bank has not raised any Additional Tier I or Tier II capital instruments and continues to meet the regulatory capital requirements entirely through its core equity base, reflecting a conservative capital structure and reliance on internal capital generation.