Pakistan Microfinance Network (PMN) has inked an agreement with technology provider TPS to digitize Pakistan’s microfinance industry through a “Digital Services Platform (DSP)”, read a statement issued by TPS.
Through DSP, the Microfinance Providers (MFPs) will be able to further their efforts towards bringing the unbanked and under-banked into the fold of financial services. It will increase the accessibility for clients and bring efficiency through the available distribution channel.
PMN will leverage the capabilities of TPS’ solutions to power its Digital Services Platform that will offer digital payments services in a shared hosting environment. Building such a platform for the microfinance sector is pivotal to increase the outreach of financial services as envisaged by National Financial Inclusion Strategy (NFIS) and Financial Inclusion Programmer (FIP).
The platform will also enable interoperable transactions such as real-time funds transfer, bill payments aggregation system, bulk disbursements and repayments, and hosted loan management system for the Microfinance industry. With all MFPs interconnected via DSP, the authorization, disbursement and repayment of microloans will become convenient. In the long run, the platform will also facilitate in increasing the uptake of M-Wallet accounts.
Commenting on the signing of the agreement, TPS CEO Shahzad Shahid said, “This project with PMN gives TPS an opportunity to digitize the financial services for masses that are out of conventional banks’ ambit. We are sure that this initiative can bring real impact on the national economy and a common man’s quality of life.”
PMN CEO Syed Mohsin Ahmed said, “We want to keep a lens on our clients and work with our members towards the end to end digitization of the Microfinance operations – from loan acquisition to recovery and from the opening of m-wallet accounts to the increased usability of those accounts.”