The government of Pakistan recently announced the start the Pakistan Financial Inclusion and Infrastructure Project with funding totaling USD 130 million from two arms of the World Bank, the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA). Three Pakistani organizations will carry out the project: the Pakistan Microfinance Investment Company, a new organization funded by the governments of the UK and Germany; National Savings, an arm of the Pakistani government; and the State Bank of Pakistan’s development finance group. The project is intended to increase financial inclusion by easing access to digital payments by businesses and households as well as expanding access to credit for micro-, small and medium-sized enterprises (MSMEs).
IBRD disburses loans and grants as well as providing analytical and advisory services to middle-income countries and poorer countries that are deemed creditworthy, with the aim of promoting sustainable development to reduce poverty. IDA offers interest-free credits and grants to the world’s 81 poorest countries.
By Phoebe Rorke, Research Associate
Sources and Additional Resources
World Bank Financial Report 2016
Pakistan Microfinance Investment Company:
UK Department for International Development:
Launch of PMIC
Central Directorate of National Savings
State Bank of Pakistan:
Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at https://www.microcapital.org/products-page/.