KARACHI: The State Bank of Pakistan (SBP) just released its annual financial statements for the fiscal year 2025-26. The numbers reveal a shocking contrast. SBP profits plummeted by 20% during the year. However, top executives still enjoyed massive pay raises. In fact, the SBP Governor and three Deputy Governors saw their combined salaries and benefits skyrocket by 94%.
A Massive Jump in SBP Governor Salaries
Top management took home heavily inflated paychecks in FY26. Consequently, the Governor and three Deputy Governors received a combined package of Rs. 182.53 million. This marks a massive Rs. 88.55 million increase compared to the Rs. 93.97 million they received in FY25.
Furthermore, non-executive members of the SBP Board of Directors also secured sharp increases. Their combined remuneration jumped from Rs. 11.15 million to Rs. 25.16 million. This represents a staggering 126% raise. Meanwhile, the external member of the Monetary Policy Committee (MPC) earned Rs. 8.43 million, slightly up from Rs. 7.62 million last year.
According to SBP disclosures, key management personnel include the Governor, Deputy Governors, Board members, and other executives who plan and manage the bank’s activities.
Executive Position FY25 Remuneration FY26 Remuneration Increase
Governor & Deputy Governors Rs93.97 Million Rs. 182.53 Million 94%
Non-Executive Board Members Rs11.15 Million Rs. 25.16 Million 126%
External MPC Member Rs. 7.62 Million Rs. 8.43 Million 10.6%
Plunging Profits vs. Modest Staff Raises
These executive pay bumps occurred despite a massive financial hit to the central bank. Specifically, the SBP reported a profit decline of Rs. 507 billion. Total profits fell to Rs. 1,992 billion in FY26, down sharply from Rs. 2,499 billion in the previous financial year.
Conversely, regular SBP staff received much smaller raises. Total salaries and benefits for the general staff increased by just 8.4%. This Rs. 91.18 million bump brought the total staff wage bill to approximately Rs. 1.16 billion. Overall, the combined remuneration increase across top management, directors, the MPC member, and staff totaled around Rs. 193.5 million for FY26.
Operational Delays & Appointments
Throughout the year, the SBP actively managed the exchange rate. Moreover, the bank pursued several initiatives to promote digital banking and push toward a cashless economy. However, the planned introduction of new banknotes remains pending.
Regarding structural hierarchy, the President of Pakistan directly appoints the SBP Governor. Meanwhile, the federal government appoints the Deputy Governors. Finally, the appointing authority determines the specific remuneration for all non-executive Board members.
