IFC announces USD10m financing for women borrowers in Pakistan

KARACHI: The International Finance Corporation (IFC), a member of the World Bank Group, has announced an investment of USD 10 million in ASA Microfinance Bank (Pakistan) Limited (ASA MFB) in the form of a four-year loan aimed at expanding access to finance for women microfinance borrowers, and supporting private sector growth in Pakistan.

The loan will be used by ASA MFB to enhance its on-lending toward women entrepreneurs and micro businesses across Pakistan. IFC’s four-year financing will offer liquidity stability to ASA MFB to serve more clients, as the bank continues to expand and strengthen its operations.

IFC’s investment is supported by the International Development Association Private Sector Window (IDA PSW) Blended Finance Facility. It will be processed under IFC’s MSME Finance Platform - Base of the Pyramid Envelope that supports lending by financial institutions to help small businesses in emerging markets.

The investment addresses a critical gap in Pakistan’s financial landscape where access to finance remains low with only 27 percent of Pakistani adults having access to a bank account and a large micro, small, and medium enterprise (MSME) finance gap estimated at approximately USD 57.8 billion, or 20 percent of gross domestic product.

Beyond the direct investment, IFC will also provide targeted advisory services to improve the bank’s gender-disaggregated data reporting system and practices so it can better understand and serve the needs of female borrowers over time.

“This partnership is about recognizing and supporting women who are already running businesses,” said Naazer Minhaj, President & CEO of ASA Microfinance Bank (Pakistan) Limited. “It will enable us to extend financing to more women across Pakistan, helping them strengthen their businesses and build on what they have already achieved.”

Momina Aijazuddin, Regional Industry Director, Financial Institutions Group, IFC said that in Pakistan, millions of women run businesses and support their families, yet they remain largely shut out of the formal financial system.

“We believe this investment will not only help many households but also demonstrate to the broader market that lending to women is not just the right thing to do, it is good business,” she added.

Copyright Business Recorder, 2026