ISLAMABAD: The British International Investment (BII), the UK’s development finance institution and impact investor, and Finnfund on Thursday announced their continuing support to Kashf Foundation (Kashf), one of the leading microfinance institutions in Pakistan.
BII has committed $15 million while Finnfund has committed $10 million as follow on investments, according to a statement issued here Thursday.
In 2021, Finnfund and BII made their initial investment in Kashf. Since then, Kashf has grown to become the largest distributor of micro insurance solutions in Pakistan and also introduced health insurance products aimed at underserved women who did not have access to insurance before.
Pakistan has one of the lowest financial inclusion rates in the world, with 79 per cent of its 231 million people operating outside of the formal banking system, according to World Bank’s Global Findex Database. Only 13 per cent of Pakistani women have bank accounts compared to 28 per cent of men, according to the statement.
It added that most low-income households in Pakistan lack access to formal safety nets and are highly vulnerable to shocks such as the death of the head of the household, an illness, or a disease.
Copyright Business Recorder, 2024
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