Telenor Microfinance Bank (TMB), the force behind Pakistan’s leading digital wallet easypaisa, announced a remarkable turnaround for the fiscal year 2023. TMB secured a profit before tax of PKR 1.2 billion, solidifying its digital transformation journey.
This achievement comes alongside the In-Principle Approval for a Digital Retail Bank license granted by the State Bank of Pakistan in September 2023.
TMB’s revenue soared by a staggering 70% year-over-year, reaching PKR 28 billion. This growth can be attributed to a 90% surge in net markup income, fueled by increased deposits and favorable rates. Additionally, non-markup income grew by 65% to PKR 14 billion. Customer deposits climbed 9.3% to PKR 50.9 billion, while advances surged by 60% to PKR 18.6 billion. TMB maintains a healthy capital adequacy ratio of 21.91%, exceeding regulatory requirements.
The star of the show remains TMB’s digital platform, easypaisa. It boasts over 13.2 million active users monthly in 2023, reflecting a 17% year-over-year rise. The easypaisa app, a cornerstone of TMB’s digital ecosystem, witnessed a significant 32% growth in monthly active users (9.6 million) compared to 2022, solidifying its position as Pakistan’s top financial app.
Easypaisa processed a staggering 2.1 billion transactions in 2023, amounting to a value of PKR 7 trillion. This translates to a remarkable 56% growth in transactions and a phenomenal 77% increase in volume compared to the previous year.
Kashif Ahmed, TMB’s Acting President & CEO, commented on this milestone:
“Our exceptional financial performance in 2023 is a testament to our digital-first approach, the dedication of our team, and the trust placed in us. This year sets the stage for an exciting future as we transition into a digital retail bank and witness the continued growth of easypaisa. We aim to redefine digital banking in Pakistan, offering innovative solutions for all. Together, we will leverage technology to create a financially inclusive digital Pakistan.”
TMB’s transformation into a digital retail bank awaits final regulatory approvals. The bank remains focused on maintaining a strong balance sheet and exploring sustainable growth avenues. With its digital-first approach and commitment to innovation, TMB is well-positioned to revolutionize digital banking in Pakistan, empowering individuals and unlocking new economic opportunities.