In a significant development for Pakistan’s economy, foreign investors have shown interest in privatizing First Women Bank. According to sources, the UAE government has expressed keen interest in acquiring a stake in the bank.
The Pakistani government has been actively pursuing the privatization of First Women Bank, and negotiations with the UAE government have been ongoing since February 2024. The proposed transaction involves the sale of 82% of the bank’s shares on a government-to-government basis, subject to the approval of the UAE government.
The privatization of First Women Bank is expected to have a positive impact on the bank’s performance and attract further foreign investment into Pakistan. The sale will be facilitated by an eight-member cabinet committee established by the federal government, which will determine the final sale price and agreement terms.
It is noteworthy that the privatization of First Women Bank was initially initiated in 2015, indicating a long-standing government effort to attract foreign investment and improve the bank’s operations.