Pakistan’s banking boom stuns Asia-Pacific: BOP tops regional charts with record-breaking 176% return

Pakistani banks outperformed Asia-Pacific peers in Q3 2025, with Bank of Punjab leading a six-bank surge. Strong investor confidence, market recovery, and U.S. ties fueled record-breaking equity returns.

WEBDESK — In a stunning turn for the financial sector, Pakistani banks have emerged as the best-performing in the entire Asia-Pacific region for the third quarter of 2025, according to a new analysis by S&P Global Market Intelligence.

At the forefront of this surge stands The Bank of Punjab (BOP), which delivered an astonishing 176.4% total return, outpacing every other publicly traded bank in the region with a market capitalization above $100 million. The Lahore-based institution, valued at around $320 million as of September 30, outperformed even some of Asia’s biggest financial players.

Hot on its heels, The Bank of Khyber secured second place with a 108.2% return, while other Pakistani names like National Bank of Pakistan, JS Bank, Askari Bank, and Habib Bank joined the top 15 performers — giving Pakistan an unprecedented six spots among the regional elite.

Analysts attribute this financial rally to a sharp rebound in investor confidence following the resolution of a military conflict with India in May and Pakistan’s improving diplomatic ties with the United States — underscored by multiple meetings between key Pakistani leaders and President Donald Trump.

The KSE-100 index also mirrored this optimism, jumping over 22% during the quarter.

Meanwhile, banks in China and India faced steep declines amid loan pressure and weak margins, underscoring Pakistan’s exceptional rise. Indonesia’s PT Bank Nationalnobu Tbk was the worst performer, with a -31.9% return.

With stability returning and investor faith strengthening, Pakistan’s banking sector has not just recovered — it has redefined financial dominance across Asia.