Halan Microfinance Bank, an Egyptian fintech leader, is expanding into Pakistan, marking a significant step in the country’s growing digital financial landscape. Despite challenges like slow internet, Pakistan’s increasing digitalisation and large customer base have attracted foreign fintechs, with Halan entering through the acquisition of Advance Microfinance Bank.
The fintech sector in Pakistan is experiencing rapid growth, with digital banking, mobile payments, and microfinance driving financial inclusion. Halan’s expansion aims to bridge the gap in the country’s financial services, focusing on underserved communities, particularly in agriculture, women, and small businesses. The bank plans to launch its digital app this year and expand its physical presence with 100 new branches. The company is also seeking a national banking license to scale its operations further.
Halan’s approach blends digital and physical banking services, providing small and micro-loans to businesses and individuals. The company is investing $10 million over the next year and aims to build a $500 million loan portfolio within five years. It currently serves 50,000 customers in Pakistan, with plans to double that number.
The bank’s strategy focuses on financial inclusion through a mix of conventional and Islamic banking products, including unsecured lending, vehicle financing, and tailored loans for women entrepreneurs. Halan Microfinance Bank also plans to partner with local companies to offer embedded financing solutions like advance salary payments and competitive interest rates.
By leveraging its experience in Egypt, Halan aims to overcome credit challenges in Pakistan, offering an innovative approach to digital banking and helping meet the country’s rising demand for financial services.
