Factors That Supports Banking Sector Revenue Generation 2019 To 2023

This research paper investigates how banking sector generates its income on which factorrevenue and profitability of banking sector depends and it also investigates the incomestreams fund income, fee income & revenue generates from interest income and its impact onbank’s performance. The results of study suggests bank’s profitability and its contribution toeconomic development of Pakistan. This study reveals that how Interest Income & Fee basedincome have a large variation in Assets to GDP & Deposits to GDP. Deposits are influencedby two independent variables. Interest income have positive impact on inflation. We havediscussed several modes of income of banks in this study. We have observed fee basedincome does not depends on fluctuating interest rates. But as per this research Deposits havea positive relationship with Interest income & Fee based income. In this research Interestincome & Fee based income shows variation in inflation. Higher inflation is source of highearning for banks.