Pakistani banks Pakistan delivered some of the highest investor returns across the Asia-Pacific region in 2025, with local lenders securing six of the top 10 positions in a regional performance ranking compiled by S&P Global Market Intelligence.
The Bank of Punjab topped the list after posting total returns of more than 330% during the year, making it the strongest-performing bank among those tracked by S&P in the region. It was followed by the National Bank of Pakistan, which generated returns of just over 300%, placing it second overall.
Several other Pakistani banks also recorded exceptional gains. Askari Bank and the Bank of Khyber produced returns of around 194% and 177% respectively, while United Bank Limited delivered gains of about 143%. Faysal Bank and Bank Makramah also featured among the leading performers, each posting triple-digit returns.
According to S&P Global, many of the banks with the largest gains were relatively smaller institutions, with market capitalizations below one billion dollars. This suggests that investors increasingly targeted mid-sized and niche lenders as economic conditions improved.
The strong performance in banking stocks came alongside a broader surge in Pakistan’s stock market. The KSE-100 index climbed sharply for the third consecutive year, rising by more than 50 percent and closing at a new high.
S&P Global said the results placed Pakistani banks among the standout performers in the Asia-Pacific banking industry, alongside select Japanese lenders, reflecting renewed interest in Pakistan’s financial markets.
The data points to a shift in investor sentiment, with Pakistan’s banking sector benefiting from stabilizing economic conditions and a recovery in market confidence after several years of volatility.