MICROCAPITAL BRIEF: World Bank Providing $130m for Financial Inclusion Effort in Pakistan

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

Dawn:
Govt to launch $130m financial inclusion project

World Bank:
World Bank Financial Report 2016

IBRD

IBRD Financial Statement December 2016

IDA

IDA Financial Statement December 2016

Pakistan Microfinance Investment Company:
PMIC

UK Department for International Development:
Launch of PMIC

National Savings:
Central Directorate of National Savings

State Bank of Pakistan:
SBP

Do you know that MicroCapital publishes the MicroCapital Monitor newspaper each month? Find out more at http://www.microcapital.org/products-page/.

Share

Comments are closed.