House Building Finance Company (HBFC) is proud to announce a record operating profit of PKR 3.0 billion as per its 2023 Financial Report, marking a significant milestone for the state-owned enterprise and reflecting a remarkable turnaround over the past three years. The management’s focused and concerted efforts resulted in an increase of 82 % in its operating profit over the last year; continuing a remarkable trend where its profitability has increased three-fold over the past three years. Its profit after tax stood at PKR 2.3 billion; an increase of 53 % over the last year. Despite an extremely challenging operating and economic environment, HBFC was able to achieve a reversal of loan loss provisioning by more than PKR 300 million, a unique achievement across the sector in 2023. In recent years, the company’s NPL portfolio has been reduced by more than 30 %, all due to disciplined recovery efforts.
Such milestones have been achieved in a testing economic environment, where despite record-high inflation and resultant spike in mark-up rates, HBFC continued to provide fresh housing loans to meet the demands of its customers and also launched special campaigns targeting overseas Pakistanis and female customers for their financial inclusion and empowerment through home ownership. In the last three years, HBFC has disbursed fresh housing loans in excess of PKR 10.0 billion. During 2023, in order to lessen the impact of high mark-up rates, HBFC also offered a relief scheme to its existing customers to help them cope with the additional burden. More recently, HBFC also started offering subsidized loans for solar panels under its ‘GharUjala’ scheme as part of its green banking initiatives.
As HBFC continues its mission of facilitating homeownership for Pakistanis nationwide, the institution aims to address recent false and baseless news items being published in certain press outlets trying to tarnish the company’s reputation and credibility. HBFC categorically refutes these unfounded and malicious news items that lack any merit whatsoever. These false news items are being planted to disrupt the journey of progress and success at HBFC and its ongoing privatization process, which is at an advanced stage.
The management of HBFC would like to emphasize that the organization operates with the highest standards of integrity, transparency and ethical conduct and follows a robust framework of governance and merit. Any insinuations suggesting otherwise are entirely false, misleading and malicious. The institution remains fully committed to upholding the trust and confidence of its stakeholders, including customers, employees, shareholders and regulatory bodies.
The privatization process of HBFC is advancing smoothly. The management continues to facilitate the efficient completion of this process as it firmly believes that HBFC’s privatization will further enhance its operational efficiency and overall performance. The management is equally committed to ensuring widespread ownership of the privatization process throughout the organization and safeguarding the interests of its employees.
