DPC doubles coverage for ‘all eligible depositors’

KARACHI: The Deposit Protection Corporation (DPC) has doubled the coverage for all eligible depositors of its member banks to PKR 1, 000, 000 per depositor per bank. The DPC on Wednesday released its fifth Annual Report for the fiscal year 2024-25. The report has been issued with the objective of providing disclosure of the Corporation’s financial performance, operating activities, and achievements. Established under the Deposit Protection Corporation Act, 2016, DPC operates as a subsidiary of the State Bank of Pakistan (SBP) with the mandate to compensate banks’ depositors in the event of any member bank failure as and when notified by SBP and to provide financial support for the resolution of member problem banks. According to report that DPC has doubled the coverage for all eligible depositors of its member banks to PKR 1, 000, 000 per depositor per bank. This was the second upward revision in coverage by DPC within six years of its establishment. In terms of statistics, as of June 30, 2025, there exist 91. 78 million depositors of all scheduled banks, out of which 90. 83 million are eligible depositors, and their deposits are protected up to the extent of the current protected deposit amount of Rupees one million per depositor per bank, as specified by the Corporation. It also highlights that DPC’s deposit protection fund has surpassed PKR 200 billion, which reflects DPC’s strong financial forte to fulfill its mandate. In addition, report also highlights the amendments to the DPC Act 2016, with particular focus on the enhanced role of Corporation’s support function in the resolution of member problem banks. Besides, report also encompasses comprehensive financial review, featuring five-year comparative analyses, the independent auditor’s report, and the audited financial statements for the fiscal year 2024–25. Copyright Business Recorder, 2026

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