Latest news with #HBLMfB
Business Recorder
5 days ago
- Business
- Business Recorder
Satellite-based agricultural analytics: HBL MfB, SUPARCO sign MoU
ISLAMABAD: Pakistan's agri-lending sector, HBL Microfinance Bank (HBL MfB) and the Pakistan Space and Upper Atmosphere Research Commission (SUPARCO), have signed a Memorandum of Understanding (MoU) to introduce satellite-based agricultural analytics into the lending ecosystem. Under this initiative, the two organisations will jointly execute a pilot project in Okara District, one of Punjab's key agricultural zones. The pilot will involve remote pre-loan assessments using high-resolution satellite imagery, crop health analytics, yield estimation, risk profiling, and a scoring engine to assess farm-level creditworthiness. A secure API and dashboard interface will enable HBL MfB to integrate this data into its loan decision-making processes, eliminating the need for manual field verification. Sharing his thoughts on the occasion, Amir Khan, President & CEO, HBL MfB, said, 'We at HBL Microfinance Bank are excited to be the first microfinance bank in Pakistan to collaborate with SUPARCO for Climate-Smart Agri Financing, under which satellite-powered analytics will be integrated into agricultural lending. As a leading microfinance bank, HBL MfB is well-suited to drive such innovations that benefit both our clients, and the microfinance sector. This partnership aligns with our vision of improving the quality of life of our customers through innovative financial solutions, and we are thankful to SUPARCO for partnering with us. Together, we are sowing the seeds of a smarter, data-backed future for Pakistan's agriculture sector.' Zafar Iqbal, Member (SAR), SUPARCO, remarked, 'SUPARCO proudly remains at the forefront of applying satellite technology for national development. This collaboration with HBL Microfinance Bank is a proud moment for us as we bring our Agricultural Geographic Information System into the financial sector for the very first time. We are confident that our analytics and insights will not only strengthen lending processes but also contribute meaningfully to agricultural productivity and rural uplift.' The next phase of the partnership includes post-loan satellite monitoring, enabling the Bank to track crop activity and raise early alerts in case of anomalies, ushering in a new era of risk management and lending transparency. The partnership is set to redefine how microfinance institutions approach agriculture lending in Pakistan, positioning HBL MfB and SUPARCO as the leaders in the emerging domain of agri-lending enabled by space technology. Copyright Business Recorder, 2025
Arab News
6 days ago
- Business
- Arab News
Pakistan space agency, local bank launch satellite-powered agri-lending solution
ISLAMABAD: Pakistan's national space agency said on Sunday it has signed a 'landmark' memorandum of understanding (MoU) with HBL Microfinance Bank (HBL MfB) to introduce, for the first time, satellite-based agricultural analytics into the country's lending ecosystem. The Pakistan Space and Upper Atmosphere Research Commission (SUPARCO) said the initiative represents a major step forward in applying space technology to support climate-smart agriculture and enhance access to finance for farmers. The pilot will involve remote pre-loan assessments using high-resolution satellite imagery, crop health analytics, yield estimation, risk profiling, and a scoring engine to assess farm-level creditworthiness by SUPARCO. A secure API and dashboard interface will enable HBL MfB to integrate this data into its loan decision-making processes, eliminating the need for manual field verification. 'The pilot phase will be implemented in Okara District, Punjab— one of the country's most important agricultural regions,' the statement said. 'SUPARCO's secure API and dashboard interface will integrate directly with HBL MfB's systems, eliminating the need for manual field verification and enabling remote pre-loan assessments.' The next phase of the partnership includes post-loan satellite monitoring, enabling the bank to track crop activity and raise early alerts in case of anomalies, the space agency said. The development takes place as Pakistan aims to strengthen its space program. China last month launched a Pakistani remote sensing satellite (PRSS-1) from the Xichang Satellite Launch Center in southwest China's Sichuan Province. The satellite, being primarily used in the fields of land resource surveys and disaster prevention and mitigation, will help promote the development of Pakistan, Pakistan's planning minister had said. In January, China launched Pakistan's indigenously developed Electro-Optical (EO-1) satellite into space from its Jiuquan Satellite Launch Center, aiming to predict natural disasters and monitor resources, Chinese and Pakistani state media reported. In November 2024, SUPARCO announced its rover will join China's Chang'E 8 mission to explore the moon's surface in 2028. In May 2024, Pakistan launched its first lunar satellite aboard China's Chang'e-6 probe, which was tasked with landing on the far side of the moon that perpetually faces away from the Earth.
Arab News
13-02-2025
- Business
- Arab News
Pakistan's HBL Microfinance Bank, IFC sign $80 million risk sharing agreement
KARACHI: HBL Microfinance Bank (HBL MfB) has signed a Risk Sharing Agreement (RSA) with the International Finance Corporation (IFC), a member of the World Bank Group and the largest global development institution focused on the private sector in emerging markets. The facility, which is supported by the Private Sector Window of the Global Agriculture and Food Security Program (GAFSP), will allow HBL MfB to share 50 percent of the risk on its microfinance loan portfolio of up to $80 million with IFC on an unfunded basis. The collaboration aims to enhance access to finance for smallholder farmers and microenterprises across the country, with a strong focus on women entrepreneurs. 'This RSA is another milestone, reinforcing the Bank's legacy of innovation and leadership in addressing the evolving financial needs of underserved communities,' HBL said in a statement. 'By being the first microfinance bank to establish an agreement on such a scale, HBL MfB is not only pushing boundaries but also redefining industry standards, ensuring that microfinance remains a catalyst for empowerment and economic growth.' HBL said the RSA exemplified the bank's approach toward leveraging strategic partnerships to strengthen financial resilience, expand lending capabilities, and maintain sustainable growth. 'This partnership with IFC is a testament to our commitment to financial inclusion. The facility serves as a replicable model for strategic partnerships that mitigate market challenges while driving sustainable development,' Amir Khan, President and CEO HBL Microfinance Bank, said in a statement. 'By pioneering this Risk Sharing Facility in the microfinance sector, we are ensuring that underserved segments of the society — especially small business owners and farmers, particularly women, have access to the capital they need to thrive. We are thankful to IFC for their trust in us and look forward to the growth and progress it will bring for underserved Pakistanis.' Momina Aijazuddin, Regional Head of Financial Institutions Group at IFC, said boosting access to finance, especially for smallholder farmers, small businesses and women, could be a 'gamechanger' in Pakistan. 'With this in mind, IFC is excited to support this pioneering risk sharing facility which aims to de-risk HBL MfB's on-lending activity to its microfinance clients and support critical growth opportunities in agriculture, entrepreneurship, and women's empowerment,' Aijazuddin said. 'This agreement will accelerate financial inclusion, and further HBL Microfinance Bank's mission of creating a more inclusive and resilient financial ecosystem in Pakistan.' Despite challenging macroeconomic conditions, microfinance banks (MFBs) have continued to expand their outreach to the low-income population of Pakistan. Although MFBs account for only 1.3 percent of total financial sector assets, they have a broad customer base. Over the past five years, MFBs' total assets grew by an average of 19.1 percent annually, according to government data.
