Pakistan targets 75% financial inclusion, 25% gender gap by 2028 under NFIS

January 13, 2025 (MLN): Pakistan has set ambitious targets for the National Financial Inclusion Strategy (NFIS) 2024-28, aiming to increase the level of financial inclusion to 75% and reduce the gender gap to 25% by 2028.

This was revealed in the NFIS 2024-28, presented by the State Bank of Pakistan.

In line with this, the NFIS 2024-28 outlines the following vision:

Expanding Financial Services in Underserved Areas

The NFIS 2024-28 aims to significantly enhance financial inclusion by expanding access to financial services in unserved and underserved areas.

Key efforts include the development of geo-spatial mapping to increase access points such as branches, ATMs, and agents, alongside promoting digital and physical infrastructure.

It also focuses on increasing account openings, financial literacy for micro-entrepreneurs, and launching products like the Asaan Business Account for ease of access.

Promoting Secure and Easy Digital Financial Services

NFIS 2024-28 aims to boost financial inclusion through digitalization by enhancing systems like Raast, promoting merchant payments, and establishing an Innovation Hub.

It includes developing an Open Banking framework, introducing Digital Banks and regulatory sandboxes, and expanding Asaan Mobile Account (AMA) services to encourage digital financial adoption.

Enhancing Priority Sector Financing Ecosystem

NFIS 2024-28 focuses on enhancing financial inclusion through key initiatives in microfinance, agriculture, SME financing, and housing.

It promotes climate-smart financing, green housing, and affordable housing, with a strong emphasis on expanding services to underserved areas.

These efforts aim to drive sustainable growth, improve credit access, and address environmental and social challenges.

Strengthening Capabilities and Role of Financial Institutions

NFIS 2024-28 aims to modernize policies and regulations to promote financial inclusion, with efforts to strengthen microfinance laws, boost Islamic banking, and create a youth inclusion strategy.

It emphasizes capacity building for financial institutions and developing a data-driven framework, including a financial inclusion index and dashboard, to enhance policymaking and access to services.

Enhancing Consumer Protection, Empowerment, and Awareness

NFIS 2024-28 focuses on boosting financial literacy and consumer protection, addressing digital financial risks.

It includes awareness campaigns on digital onboarding, banking conduct, and Islamic finance, targeting underserved areas, youth, and women.

The strategy also integrates financial literacy into the national curriculum and develops a National Financial Education Roadmap.

Financial Inclusion Journey in Pakistan

Pakistan's financial inclusion journey began with the SBP Act of 1956 and key milestones like the 2001 Microfinance Institutions Ordinance.

The launch of NFIS in 2015 boosted bank account access, and its 2018 edition expanded digital services.

The 2021 Banking on Equality policy reduced the gender gap in financial inclusion.

SBP's initiatives, including RAAST and Roshan Digital Accounts, along with financial literacy programs, led to a 63% increase in depositors and a rise in women's financial inclusion from 23% to 47% between 2018 and 2023.

Financial inclusion is a key mandate of SBP under section 4(C) of the SBP Act 1956 and has been a central focus of SBP's Vision since 2015.

It is highlighted as a strategic goal in both SBP Vision 2020 (Increase Financial Inclusion) and SBP Vision 2028 (Promote Inclusive and Sustainable Access to Financial Services).

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