Give Suggestions On How To Improve Banking In Pakistan?

The salary structure of our banks needs to be made competitive with that of foreign banks. A better salary structure will help to retain existing staff and also attract the talented young men to adopt banking as a profession. A considerable dead wood have accumulated in our nationalized banks during the past years. A bank screening committee should be set up to weed out incompetent and inefficient elements.

A great expansion has taken place in the branch of network of nationalized banks. A number of bank branches exist in small localities with limited banking potential. The branch network may be rationalized in such localities. There is a tense competition in international banking. The international operation of nationalized banks should be rationalized. The return on treasury bills is low and banks do not use surplus funds.

In fact, banks do not entertain expensive deposited, as they have to pay more than level of they expect to earn.A number of cases involving stuck up advances are pending with the courts. Considerable time of bankers is consumed in legal suits. The recovery laws may be simplified to ensure disposal of such cases. The banks should be permitted to provide more utility services for the account holders.