1. Creation of industrial monopoly: Before nationalization of banks credit was concentrated to few hands and this formed industrial monopoly. No person than big industrialist could get loan and advances.
2. Credit facility to agriculture: Agriculture sector is back bone of Pakistan. This sector was neglected and there was no credit facility available to agriculture sector before nationalization.
3. Credit facility to small industries: Nationalization was necessary because small scale industry was completely neglected by the private banks.
4. Collection of saving: The private banks did not attract more saving as nationalized banks could. So the banks were nationalized for increasing the habits of savings.
5. Protection of black money: In order to avoid income tax, the people kept black money with banks. The government could not do anything with such black money. The tax collection was not possible. For the solution of this problem, the banks were nationalized.
6. Exploitation of bank employs: Commercial banks exploited there employs in different ways. For example, only those persons work given jobs in the banks that were able to bring heavy deposit to them. Moreover, the bank employs were promoted on the bases of recommendation and bribery; therefore, the banks were nationalized.
7. Economic Growth: In private banks, economy of the country was not increasing due to their anti-social practices, speculation and hoarding. The country's economy suffered badly. In order to solve this problem, banks were nationalized.
2. Credit facility to agriculture: Agriculture sector is back bone of Pakistan. This sector was neglected and there was no credit facility available to agriculture sector before nationalization.
3. Credit facility to small industries: Nationalization was necessary because small scale industry was completely neglected by the private banks.
4. Collection of saving: The private banks did not attract more saving as nationalized banks could. So the banks were nationalized for increasing the habits of savings.
5. Protection of black money: In order to avoid income tax, the people kept black money with banks. The government could not do anything with such black money. The tax collection was not possible. For the solution of this problem, the banks were nationalized.
6. Exploitation of bank employs: Commercial banks exploited there employs in different ways. For example, only those persons work given jobs in the banks that were able to bring heavy deposit to them. Moreover, the bank employs were promoted on the bases of recommendation and bribery; therefore, the banks were nationalized.
7. Economic Growth: In private banks, economy of the country was not increasing due to their anti-social practices, speculation and hoarding. The country's economy suffered badly. In order to solve this problem, banks were nationalized.
