This project involves a loan of up to $20,000,000 or Pakistan rupee equivalent to Khushhali Bank Limited to expand credit access for agriculture and micro, small, and medium-sized enterprises in Pakistan.
Khushhali Bank Limited (KBL)
$20 million loan in dollars or Pakistan rupees
- KBL is the largest microfinance bank (MFB) in Pakistan, with a presence in all districts in the country and a network of 129 branches.
- KBL has the largest client base among MFBs in Pakistan, with diverse products for both loan and deposit clients. It now has over 1 million depositors and more then 50,000 borrowers. The bank also offers remittance services and microinsurance products.
- KBL’s 5-year strategy is to transform its portfolio from primarily micro, group-based loans to a good mix of group, individual, and micro, small- and medium enterprise (MSME) loans. ADB’s funding will help in the product expansion and diversification of KBL’s loan portfolio.
- The project will improve financial inclusion with its focus on agri-borrowers and MSMEs. Up to 25% of ADB’s funding will be targeted at female borrowers.
- ADB will also provide a technical assistance grant to support the establishment of an MSME training academy, as well as investments in KBL’s risk management systems.
ADB’s value addition
- Broaden access to finance, as ADB’s funding will help KBL to continue to grow and to reach unbanked, lower-income customer segments in Pakistan.
- Support the development of microfinance banking in Pakistan.
12 December 2016
This case study is originally published in Asian Development Bank Private Sector Operations, a brochure describing the work of ADB's Private Sector Operations Department, its main goal, sector focus, portfolios, and case studies on projects approved in 2016.Stay up to date Subscribe to our newsletter and get the latest issues, news, events, jobs and data in your e-mail inbox.