HBL Pakistan

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For other places with the same name, see Habib Bank (disambiguation).
Public Limited Company
Traded as KSEHBL
Industry Banking
Capital Markets
Founded Bombay (now Mumbai), in 1941 (1941)
Headquarters Habib Bank Plaza, Karachi, Pakistan
Key people
Nauman K. Dar
President & CEO
Products Loans, credit cards, Savings, Consumer Banking etc.
Revenue IncreasePKR 76.08 bn (USD 903.07 million) - 2009[1]
IncreasePKR 13.4 bn (USD 159.07 mln) - 2009[1]
Website Habib Bank Limited www.hbl.com
Habib Bank Logo

HBL (Urdu: حَبيب بينك‎) (formerly Habib Bank Limited) now referred to as "HBL Pakistan" and headquartered in Habib Bank Plaza, Karachi, Pakistan, is the largest bank in Pakistan. The bank has a network of over 1500 branches and over 1000 ATM(S) in Pakistan and 55 branches worldwide. It has a domestic market share of over 40%. It continues to dominate the commercial banking sector with a major market share in inward foreign remittances (55%) and loans to small industries, traders and farmers.


Habib Bank offers the basic range of banking services to its customers, to include commercial, bank in the emerging markets.


The branches of Habib Bank in Pakistan

Mohammed Ali Jinnah, Pakistan's founding father, realized the importance of financial intermediation while he was campaigning for the creation of a separate homeland for the Muslims of India. He persuaded the Habib family to establish a commercial bank that could serve the Indian Muslim community. His initiative resulted in the creation of Habib Bank in 1941, with HO in Bombay (now Mumbai), and fixed capital of 25,000 rupees. The bank played an important role in mobilizing funds from the Muslim community to finance the All-India Muslim League's campaign for the establishment of Pakistan. Habib Bank also played an important role in channeling relief funds to Muslims hurt in the communal riots and violence that preceded the departure of the British from India.

After the formation of Pakistan in 1947, Habib Bank moved its headquarters to Karachi, Pakistan's first capital, at the urging of Governor-General Jinnah. This gave Karachi its first commercial bank of the newly formed Pakistan. The Habib family would own and manage the bank until the Pakistan government nationalized it on 1 January 1974.

In the 1950s, the HBL started its international expansion. In 1951 it opened the first of what would become three branches in Sri Lanka. The next year HBL established Habib Bank (Overseas). Then in 1956 HBL opened the first of five branches in Kenya.

  • 1957 or 1958 HBL opened a branch in Aden.
  • 1961 HBL opened the first of what would become 6 branches in the UK.
  • 1964 HBL opened the first of 4 branches in Mauritius and a branch in Beirut.
  • 1966 HBL opened the first of 8 branches in the UAE.
  • 1967 Hyder Mohamedali Habib founded Habib Bank AG Zurich Zurich. After the Pakistan nationalised Habib Bank Ltd in 1974, this became the main branch of the family held Habib Bank.[2]
  • 1969 HBL opened the first of 3 branches and an OBU in Bahrain. However, HBL’s branch in Aden was nationalized.
  • 1971 HBL opened an OBU in Singapore and a branch in New York.
  • 1972 HBL opened the first of 11 branches in Oman. HBL constructed Habib Bank Plaza in Karachi to commemorate the bank’s 25th Anniversary.
  • 1974 The government of Pakistan nationalized HBL and HBL merged with Habib Bank (Overseas).
  • Habib Family, any of its undertakings and/or its affiliates had no stake in HBL after its nationalization.[3]
  • 1975 HBL opened a branch in Belgium. HBL also merged with Standard Bank, a Pakistani bank.
  • 1976 HBL opened a branch in the Seychelles, the first of two branches in Bangladesh, and a branch in the Maldives.
  • 1979 HBL opened a branch in the Netherlands.
  • 1980 HBL opened a branch in Paris and another in Hong Kong.
  • 1981 HBL established Nigeria Habib Bank with 40% ownership. HBL also opened a representative office in Teheran.
  • 1982 HBL opened a branch in Khartoum.
  • 1983 HBL opened branch in the Karachi EPZ and a branch in Istanbul.
  • 1987 HBL opened in Australia.
  • 1991 The Habib Group established a separate private bank, the Bank AL Habib, after private banking was re-established in Pakistan. HBL opened a branch in the Fiji Islands, and took over the branches in Paksistan of failed bank, BCCI.
  • 1992 In Nepal HBL acquired 20% of Himalayan Bank.
  • 1995 HBL established a representative office in Cairo.
  • 1990s HBL established Habib Finance (Australia), and Habib Finance International Limited, Hong Kong.

On 13 June 2002, Pakistan's Privatization Commission announced that the Government of Pakistan would grant the Aga Khan Fund for Economic Development (AKFED), a subsidiary of the Aga Khan Development Network, majority ownership of HBL against an AKFED's investment in the bank.[4]

During 2002, HBL's UK operation came close to being shut down due to regulatory issues with the Financial Services Authority. The issue was resolved by converting the operations to a subsidiary. Then Habib Bank Limited and Allied Bank of Pakistan merged their operations (Habib contributed its 6 branches and Allied its 4), into a new bank, called Habib-Allied International Bank, in which Habib Bank has a 90.5% shareholding, while Allied Bank has 9.5%. Simultaneously with the transfer of business to the new bank, both Allied and Habib Bank closed down all independent operations in the UK.

In 2003, HBL received permission to open a branch in Afghanistan.

On 29 December 2003, Government of Pakistan granted AKFED rights to 51% of the shareholding in the bank against an investment of PKR 22.409 billion (USD 389 million).[5] the next year, on 26 February, the government of Pakistan handed over management control of Habib Bank to AKFED. The Board of Directors was reconstituted to have four AKFED nominees, including the Chairman and the President/CEO and three Government of Pakistan nominees.[6] The bank's owners now comprise the Aga Khan Fund for Economic Development (51%), Government of Pakistan (42.5%), and the general public (7.5%).

See also[edit]


  1. ^ a b http://www.hbl.com/downloads/pdf/annual/2009/financial-statements-group.pdf
  2. ^ Obituary notice in Neue Zürcher Zeitung 108/2011.
  3. ^ HABIB BANK LTD. v. HABIB BANK A.G. ZURICH - 1980/82 HABIB BANK LTD. v. HABIB BANK A.G. ZURICH - Passing Off - Risk of confusion - Use of family name - Banks incorporated by well known banking family - Banks in Pakistan and Switzerland closely associated with substantial business - Nationalisation of banks in Pakistan - Whether Swiss bank passing off in carrying on independent trading - Whether good - will and reputation exclusive - Whether nationalised banks' claim barred by acquiescence, laches and estoppel
  4. ^ "Summary of Project Information, Habib Bank Ltd". Summary of Project Information, Habib Bank Ltd - International Finance Corporation. 1 December 2006. Retrieved 5 December 2007. 
  5. ^ History HBL Retrieved 27 December 2011
  6. ^ "History". HBL. 5 December 2007. Retrieved 5 December 2007. 

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