KARACHI : November 14, 2023 : The State Bank of Pakistan (SBP) has allowed ASA Microfinance Bank Limited to commence its operations nationwide from November 13, 2023.
ASA Microfinance Bank (Pakistan) Limited, licensed by SBP under the Microfinance Institutions
Ordinance 2001, is a wholly owned subsidiary of ASA International Group plc. which is recognized as
one of the world’s largest international microfinance institutions. By commencing business, ASA
Microfinance Bank (Pakistan) Limited will be the 12th Microfinance Bank (MFB) to operate in the country.
MFBs play an important role to serve a large number of microcredit borrowers and depositors. MFBs
have approximately three percent share of total advances of the banking system, however; in terms of
number of domestic borrowers, MFBs have a share of 58.6 percent, signifying their importance in Pakistan’s credit market, financial inclusion and economy. The commencement of business by ASA
Microfinance Bank (Pakistan) Limited is expected to increase the market share of MFBs regulated by SBP within the overall microfinance sector.
Given the focus on women across their international network, ASA Microfinance Bank (Pakistan) Limited is expected to play an important role towards gendermainstreaming and female
empowerment by providing small, socially responsible loans to low-income women entrepreneurs belonging to less-privileged and unbanked segments of the society.
It is expected that ASA
Microfinance Bank (Pakistan) Limited will contribute towards poverty alleviation and financial inclusion
mandate under the Microfinance Institution Ordinance, 2001