Abstract:
In emerging economies like Pakistan the commercial bank plays and important role by
providing financial services to the individuals and corporate sector. To evaluate and examine the performance of financial institutes specially the banks the most useful tool is ratio analysis and CAMEL analysis is also be considered. For the evaluation of the financial performance of Allied bank limited by keeping financial aspects and elements in view, ratio and CAMEL analysis has been selected as an evaluating tool. The research team used the final reports from the year 2008 to the year 2012 for gathering and interpreting the data for this study. This research work is based on secondary data which is collected from annual reports of ABL bank, past journals about bank’s performance and financial books. The financial analysis of Allied bank limited refers that the bank has made a slow progress over the financial year 2008 to the year 2012 as the bank has expended its business in these years and its expenses grow more rapidly than that of income, but the end of the year 2011 bank was in a position where it reduced its interest expenses which ultimately result in increase of its profit.