Habib Bank Limited (HBL) announced a significant investment in its subsidiary, HBL Microfinance Bank Ltd (HBL MfB). The board approved an equity injection of up to Rs. 6 billion, demonstrating their commitment to strengthening HBL MfB’s operations within the microfinance sector. This decision aligns with regulatory requirements and has received shareholder approval.
HBL MfB, established in 2002 and licensed by the State Bank of Pakistan, boasts a rich history. Its roots trace back to the credit and savings section of the Aga Khan Rural Support Program (AKRSP), solidifying its position as a key player in the microfinance landscape.
With an extensive network of 203 branches nationwide, strategically placed collection points enhance convenience for borrowers and students, particularly in underserved financial regions. HBL MfB facilitates loan repayments and educational fee submissions.
HBL MfB secured the title of Pakistan’s largest microfinance bank in 2023. This achievement reflects notable growth in its loan portfolio and deposits. The bank prioritizes gender inclusivity, with women comprising 33% of its 3.7 million clients. This highlights their efforts to expand financial access for women across Pakistan.
HBL MfB stands out for being the leading provider of housing finance and a prominent lender in agriculture financing for microfinance clients. Their contributions haven’t gone unnoticed. The State Bank of Pakistan recognized HBL MfB’s dedication by nominating them as the agriculture Champion Bank for Gilgit Baltistan, solidifying their role in shaping agri-banking strategies within the region.
By the year’s end in 2023, HBL MfB’s lending portfolios, encompassing consumer and agriculture financing, showcased significant growth. This underlines the bank’s impactful presence in driving financial inclusion and economic empowerment across Pakistan.