According to a report entitled “Access to Finance in Pakistan” that was recently published by the State Bank of Pakistan (SBP), the nation’s central bank, the total value of branchless banking (BB) transactions in Pakistan during 2013 increased by PKY 651 billion (USD 6.73 billion) over the previous year, reaching PKY 802 billion (USD 8.29 billion). The number of BB accounts as of December 2013 also increased, reaching 3.48 million, up from 2.11 million in 2012. Additionally, there was an increase in the number of network agents facilitating the BB industry from approximately 41,600 in 2012 to 125,000 in 2013. The value of deposits received by agents grew from PKY 1.06 billion (USD 10.8 million) in 2012 to PKY 2.64 billion (USD 26.9 million) in 2013, a 150 percent increase. The bank also reported that the number of BB transactions grew to 191 million in 2013 compared to 35 million in 2012, an increase of 443 percent.
As of June 30, 2013, SBP reported total assets worth PKR 4,040 trillion (USD 41.2 billion). SBP regulates and supervises 38 banks, 10 microfinance institutions and five development finance institutions.
By Chikondano Faith Chisala, Research Associate
About the State Bank of Pakistan (SBP): Established in 1956, the State Bank of Pakistan (SBP) is the nation’s central banking authority. SBP is responsible for the following primary functions: to regulate and supervise the nation’s financial system, to carry out monetary policy and to manage public debt. In addition, SBP performs the following non-traditional functions: developing the financial framework of the country, providing credit to priority sectors and furthering the Islamization of the banking system. As of June 30, 2013, SBP reported total assets worth PKR 4,040 trillion (USD 41.2 billion). SBP regulates and supervises 38 banks, 10 microfinance institutions and five development finance institutions.
Sources and Additional Resources
Business Recorder, Top Stories, “Branchless Banking Transactions Reach RS 802 billion mark,” http://www.brecorder.com/top-stories/0:/1161177:branchless-banking-transactions-reach-rs-802-billion-mark?date=2014-03-10
State Bank of Pakistan, Publications, “Access to Finance in Pakistan: Key Indicators on Gender-mix,” http://www.sbp.org.pk/acd/Access-Finance-Indicators-mix.pdf)
State Bank of Pakistan, Publications, “The Branchless Banking Newsletter July-2013,” http://www.sbp.org.pk/publications/acd/BranchlessBanking-Jul-Sep-2013.pdf
MicroCapital, October 7, 2013, “State Bank of Pakistan Launches Financial Literacy and awareness Program for Farmers,” https://www.microcapital.org/microcapital-brief-state-bank-of-pakistan-launches-financial-literacy-and-awareness-program-for-farmers/
MicroCapital, May 24, 2013 “ State Bank of Pakistan’s Credit Guarantee Scheme for Small, Rural Businesses Extends Loan Repayment Term to 5 Years,” https://www.microcapital.org/microcapital-brief-state-bank-of-pakistans-credit-guarantee-scheme-for-small-rural-businesses-extends-loan-repayment-term-to-5-years/
MicroCapital Universe Profile: State Bank of Pakistan (SBP), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=State+Bank+of+Pakistan+%28SBP%29
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