Introduction of National Bank

1996 Words Sep 27th, 2010 8 Pages
CHAPTER # 01

1. INTRODUCTION

The National Bank of Pakistan is a Commercial Bank and transacts all types of Banking Business. The National Bank of Pakistan was established on November 29, 1949 as a semi public commercial bank.

The Bank has the distinction of acting agent of the State Bank of Pakistan and operates treasuries where the State Bank of Pakistan does not have any office.

The Head Office of the Bank is at Karachi. Ever since its establishment in 1949 it has been leading Commercial Bank of the nation, sole agent of the Government of Pakistan’s batter trade with countries and of State Bank of Pakistan for the Government Treasury.

It has offices at all the major financial centers of the including at pride places likes 100 wall
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The National Bank of Pakistan came forward to establish its offices in the Cotton growing areas and extended credit facilities liberally in order to restore stability to the market. In 1951, the country was once again faced with a crisis in the cotton trade when prices was crashed and touched the lowest level since independence following the cessation of hostilities in Korea. The bank in collaboration with the cotton board provided the necessary Credit facilities to the trade and the crisis was tided over.
Source: http://www.nbp.com.pak
Another important event in the early history of the National Bank of Pakistan was taking over the agency work of the State Bank of Pakistan in 1952, for transacting Government business and managing currency chests at places where. The Bank of Pakistan did not have an office of its own. In 1962, the agency arrangement was extended for further period.

Prior to nationalization, a Central Board of Director governed the bank which consists of a managing Director appointed by the Central Government, nine directors elected by the shareholders and the three directors appointed by the Central Government. The President of the Central Board was appointed by the central Government amongst the Director.

Consequent upon nationalization, the Central Board disclosed and in its pace an Executive Board consisting of president , who is the Chief Executive and four other member were appointed for

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