The Presidents / Chief Executives

All Banks/DFIs,

Dear Sirs / Madam

POSITION OF NON PERFORMING LOANS (NPLs)

QUARTERLY REPORT OF CONDITION

Please refer to Part B of the Quarterly Report of Condition (QRC) being submitted by banks and DFIs under BSD Circular No. 12 dated 30th December, 2003.

The increasing focus of banks on the emerging sectors like consumer and SMEs has necessitated close monitoring of banks’ exposure to these sectors. For this purpose, we have added to Part B of QRC a table showing sector-wise details of non-performing loans i.e. Corporate, SMEs and Consumer etc. The banks and DFIs are advised to submit Part B of the Quarterly Report of Condition on the revised format with effect from quarter ending June 30, 2004. The revised format of Part B is attached herewith. The complete and updated format of the QRC is also available on the SBP website as an enclosure of this Circular Letter

Please acknowledge receipt.

Encl: As above Part - A (QRC) , Part - B (QRC) , Part - C (QRC)