International Finance Co-operation (IFC), a member of World Bank Group, is improving Pakistani farmers access to finance by investing to transform National Rural Support Programme Bank -one of the country's leading microfinance institutions-into a regulated, deposit-making bank, said a press release, issued here on Saturday.
IFC will acquire up to 18 percent stake in the NRSP Microfinance Bank to support the banks operation of providing farmers with the access to crop and livestock loans, develop deposit products to encourage savings and enhance the range and penetration of financial services in rural Pakistan.
NRSP Microfinance Bank will begin operations with a 40-branch network, seasoned staff and over the next seven years expects to reach nearly 625,000 borrowers. Co-investors in the project include Acumen Fund and Kreditanstalt fur Wiederaufbau. "This project will help the many small farmers that make up Pakistan's vital agricultural sector," said Dimitris Tsitsiragos, IFC Director for Middle East, North Africa and Southern Europe. "In this time of rapidly rising global food prices, providing access to finance for the world's farmers is more important than ever," he remarked.-PR