People’s Bank posts record first-half earnings on shift to private sector lending

State-owned People’s Bank yesterday announced it reported a post-tax profit of Rs.18.2 billion for the quarter ended June 30,2025, after booking impairment charges on exposures to several state-owned enterprises (SOEs).

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The lender, one of the country’s largest financial institutions, said the operating income for the period was Rs.80.8 billion.

The bank's net interest income rose to Rs.69.3 billion during the period, compared to Rs.27.6 billion in the corresponding period of 2024, reflecting the timely repricing of assets and liabilities, in line with the changing market interest rates. Consequently, the net interest margins improved to 4.0 percent in 2025, from 3.4 percent in end-2024. Net fees and commissions reached Rs.8.0 billion, recording a 16.8 percent growth, the highest ever for the same period. Total operating expenses stood at Rs.33.4 billion (2024:Rs.28.7 billion).

Customer deposits reached Rs.3,125.3 billion (end-2024: Rs.2,854.7 billion), while net loans stood at Rs.1,592.3 billion (end-2024: Rs.1,522.0 billion). Total assets rose to Rs.3,571.8 billion on a solo basis (end-2024: Rs.3,2978 billion).