Microfinance industry in the country is expected to get over Rs.40 billion leveraging from Department for International Development (DFID) till 2020.
DFID Country Head Joana Reid on Wednesday said that DFID’s long-term partnership with the State Bank of Pakistan has delivered on the Financial Inclusion Programme, leveraging Rs20 billion in financing to microfinance providers and establishing key institutions to support sustained and responsible growth.
DFID has also supported creation of the Pakistan Microfinance Investment Company (PMIC) and it will leverage over Rs40 billion to the microfinance industry by 2020.
She was addressing a ceremony organised here by the Pakistan Microfinance Network (PMN) to observe the International Day for Eradication of Poverty.
Additionally, DFID was supporting the Benazir Income Support Programme (BISP) since 2012, committing £300 million for this initiative until 2019-20.
Under BISP Chairperson Marvi Memon, cash transfers are helping 5.2 million poor women and supporting over 700,000 children gain access to primary education.
Reid recognised that continuous support and commitment of Finance Minister Ishaq Dar to social protection of the less privileged including poor women has been critical for achieving these results.
The event-observation of International Day for Eradication of Poverty had active participation of 80 persons representing State Bank of Pakistan, DFID, World Bank, PPAF and other donor agencies as well as PMN members including microfinance banks, non-bank microfinance institutions, rural support programmes and other stakeholders.
In his address, Deputy Governor of State Bank of Pakistan, Saeed Ahmed, said poverty is multi-dimensional and financial inclusion was only one aspect of it and when talking about poverty reduction, other aspects need to be kept under consideration.