Clarification: NBP justifies lending policy

The insinuation covered under the garb of “unconfirmed reports” regarding NBP extending billions of rupees worth of loans on substandard collaterals or political grounds. NBP says it has the most conservative lending policy and our credit decision-making as well as Board of Directors are independent of any political influence, according to a statement issued by the bank. The reporter adds that the issue was first raised by Senator Haroon Akhtar Khan of PML-Q and brought on the agenda of Senate Standing Committee on Finance and Revenue a few months back. The committee has tried to discuss this item three times but could not do so. The NBP management never contradicted Senator Haroon’s statement. Now the media is simply using this information as background in related stories.

Published in The Express Tribune, October 21^st, 2011.