The banking industry in Pakistan serves as a cornerstone of the national economy, regulated by the State Bank of Pakistan (SBP) to ensure transparency, risk management, and financial inclusion. Both public and private sector banks have expanded operations and embraced digital banking solutions to meet the demands of a technologically advanced population. The sector has also seen a rise in Islamic banking, with institutions offering Sharia-compliant financial products to cater to the increasing demand for ethical banking services.

Political instability and economic volatility further compel banks to adopt conservative lending policies. However, with the rise of financial technology (FinTech) and a growing focus on mobile banking, the sector is positioned for continued growth and modernization, extending financial services to underserved populations across Pakistan. Despite these advancements, the industry faces challenges such as rising non-performing loans (NPLs) and stringent regulatory requirements.

The majority of offenses pertaining to Banking and Finance in Pakistan fall under the purview of the Financial Institutions (Recovery of Finances) Ordinance, 2001, and are adjudicated by the Special Courts, designated as Banking Courts. There are currently 29 Banking Courts operational throughout Pakistan. In specific instances, depending on the facts and legal framework, such offenses may also be prosecuted before civil courts or other competent forums vested with concurrent jurisdiction.

The distinguishing advantage that the lawyers and attorneys at Goraya & Pansota offer over our competitors is the unwavering assurance to prospective clients that no member of our firm will engage in any unlawful or unethical conduct that could bring disrepute to the legal profession or this law firm, or result in the unjust loss of a client’s case without due process. At Masood and Masood, our legal practitioners are committed to minimizing litigation timelines to the greatest extent possible. Our reputation in Pakistan’s legal market as banking law attorneys is built on trust, integrity, and the efficient administration of justice.

While arbitration is often a preferable and prudent option in banking law matters, the attorneys at Goraya & Pansotawill only proceed with arbitration services upon receiving the express consent of our esteemed clients, whether they are financial institutions or individual consumers.

AREAS OF EXPERTISE

Banking Law Lawyers and Attorneys of Goraya & Pansota provide the following services in Pakistan in relation to Banks and/or Consumers of Banks

• Loan Transactions and Related Security (Particularly Guarantees) both Personal and Corporate
• Swaps and Derivatives
• Pertinent Aspects of the Law of Insolvency
• Receivership and Company Law
• Constructive Trusts and Tracing of Assets
• Letters of Credit
• Performance Bonds
• Letters of Comfort
• Bills of Exchange
• Corporate Finance
• Project Finance
• Negotiations
• Short Term and Long Term Financing and Bridge Financing
• Guarantees
• Restructuring of Loans
• Revival of Sick Units etc.
• Refinancing
• Project Finance
• Securitization and other Structured Finance