What Khushhali Microfinance Bank does

Khushhali Microfinance Bank Limited (KMBL), founded in 2000 as part of the Government of Pakistan's Microfinance Sector Development Program with Asian Development Bank support, is Pakistan's first and largest microfinance bank. It transitioned from public-sector ownership to private institutional ownership and operates under a State Bank of Pakistan microfinance banking license (MFI-021) with oversight from SECP. The bank serves low-income households, micro-entrepreneurs, SMEs, agricultural borrowers, and women (through its dedicated Khushhali Niswan sub-brand) through a 200-branch distribution network across all provinces, supplemented by Omni agents, USSD banking (*8226#), a mobile application, internet banking, digital account opening, and Raast instant payments.

KMBL's product portfolio spans collateral-free microfinance loans (General, SME, Agriculture, Housing), a multi-variant savings and current account suite (Niswan, Bachat Plus, Muhafiz, Karobari Munafa, Behtreen, Mehfooz, Sahulat, Aasaan), term deposits (Izafa and Aamdani Certificates), bundled insurance products (health and life, distributed via Jubilee Life partnership), and remittance services through Western Union integration. The technology stack is transactional and infrastructure-led — mobile/internet banking, USSD across Jazz/Zong/Ufone networks, 1Link ATM consortium access, and Raast interoperability — with no disclosed AI/ML or proprietary credit-decisioning models.

The revenue model is dominated by net interest income from a PKR 86.87B gross loan portfolio across 246,645 active borrowers, complemented by deposit spread on PKR 134.03B in deposits from 509,749 active account holders, transaction fees from remittances, and insurance commission income. The bank is privately held by an institutional shareholder base led by United Bank Limited (29.7%), Incofin Investment Management (24.4%), responsAbility (19.9%), Equator Capital Partners (14.3%), Triple Jump (9.9%), and Bank Al Habib (1.8%), with no public listing on PSX.

Name

Khushhali Microfinance Bank

Legal name

Khushhali Microfinance Bank Limited

Website

https://khushhalibank.com.pk

Company type

Private

Founded year

2000

Operating status

Operating

Headcount range

101–250 employees

Short description

Khushhali Microfinance Bank is Pakistan's first and largest microfinance bank, serving low-income households, micro-entrepreneurs, SMEs, and women through a 200-branch network and digital channels, with PKR 86.87B in loans and PKR 134.03B in deposits under State Bank of Pakistan regulation.

Ownership category

akta.pro rank

Product category

Microfinance Banking

NAICS

Commercial Banking (522110), Savings Institutions and Other Depository Credit Intermediation (52218), Nondepository Credit Intermediation (5222)

SIC

Short-Term Business Credit Institutions (6153), National Commercial Banks (6021)

akta.pro primary industry

Microloans & Working Capital Loans (FSAKAGAA)

akta.pro secondary industries

Small Business Banking (Microbusiness/Sole Proprietor) (FSABAAAI), Secured Microloans (Community/Nonprofit, Collateralized) (FSAKALAJ), Mass-Market Consumer Deposit Banking (Checking/Savings) (FSABAAAA), Agricultural & Rural Microfinance (FSAKAGAG)

Keywords

• Microfinance loans
• Savings accounts
• SME financing
• Micro credit services
• Financial inclusion

Headquarters

HQ city

Islamabad

HQ country

Pakistan

HQ region

Asia

Offices1 record

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Microfinance Lending: The primary revenue stream comes from interest income on microfinance loans provided to low-income households, micro-entrepreneurs, and SMEs. The bank offers various loan products including general loans, SME loans, agricultural loans, housing loans, and gold-backed loans.
2. Deposit Margins: Revenue generated from the spread between interest paid on deposits and interest earned on lending portfolio. The bank offers various deposit products including savings accounts, current accounts, and term deposits.
3. Remittance Services: Fees and charges earned from remittance services including Western Union transfers and other money transfer products.
4. Insurance Products: Revenue from insurance products including health insurance (Khushhali Sehat Zamanat, Khushhali Tahaffuz) and life insurance (Khushhali Takaful, Khushhali Mustaqbil) offered in partnership with Jubilee Life Insurance.

Pricing tiers

Go-to-market motion1 record

Distribution channels4 records

Marketing channels6 records

Core offering

Khushhali Microfinance Bank is Pakistan's first and largest microfinance institution, providing collateral-free microfinance loans (general, SME, agriculture, housing, livestock, gold-backed), savings and deposit products, insurance, and digital banking services to low-income households, micro-entrepreneurs, and small businesses. The bank distributes these offerings through 200 branches, a mobile/internet banking platform, USSD (*8226#), agent banking, and digital account opening to serve underbanked and unbanked populations across Pakistan.

Product overview

Khushhali Microfinance Bank operates as a diversified microfinance institution with a comprehensive suite of financial products organized into loans, savings, insurance, and remittances. The core lending portfolio spans General Loans (Pasbaan, Livestock, Qarza), SME Loans (EasyCash, Sarmaya), Agriculture Loans (Cash Sahulat), and Housing Loans (Mera Ghar, Home Plus). Savings offerings include multiple account variants (Niswan for women, Bachat Plus, Muhafiz, Karobari Munafa, Behtreen, Mehfooz), Current Accounts (Sahulat, Aasaan Digital), and Term Deposits (Izafa, Aamdani Certificates). Insurance products cover health (Sehat Zamanat, Tahafuz) and life (Takaful, Mustaqbil). The bank also provides digital banking services including Internet & Mobile Banking, USSD banking (*8226#), and remittance services through Western Union. Khushhali Niswan serves as a dedicated women-focused sub-brand offering preferential loan terms and priority banking. The institution is regulated by the State Bank of Pakistan and operates under SECP oversight.

Differentiator

Problem solved

Functional benefit

Brands

• Khushhali Niswan: Women-centric banking products and services including loans, savings, and insurance tailored for women entrepreneurs, featuring a 1% discount on selected lending products and priority banking services at branches.

Products and services

• Khushhali Internet & Mobile Banking Digital banking platform providing 24/7 account access, fund transfers via IBFT, bill payments, account balance inquiry, and transaction history via web and mobile application for retail customers.
• USSD Banking Service (*8226#) Multi-network USSD banking service enabling customers to check account balance and loan payment details using Jazz, Zong, or Ufone numbers without internet connectivity.
• General Loans (Khushhali Pasbaan, Livestock, Qarza) Microfinance loan products including Khushhali Pasbaan Loan, Khushhali Livestock Loan, and Khushhali Qarza serving various borrower needs for low-income households and micro-entrepreneurs.
• SME Loans (EasyCash, Sarmaya) Small and medium enterprise financing products including Khushhali EasyCash and Khushhali Sarmaya (Micro Enterprise Loan) providing working capital and expansion financing for SMEs.
• Agriculture Loans (Cash Sahulat) Agricultural financing product under the Khushhali Cash Sahulat scheme for farmers requiring financing for crops, livestock, and agricultural inputs.
• Housing Loans (Mera Ghar – Mera Ashiana, Home Plus) Housing finance products including Mera Ghar – Mera Ashiana and Khushhali Home Plus supporting home purchase and construction for low-income households.
• Savings Accounts (Niswan, Bachat Plus, Muhafiz, Karobari Munafa, Behtreen, Mehfooz) Multiple savings account variants including Niswan Savings Account (women-focused), Khushhali Bachat Plus, Muhafiz, Karobari Munafa, Behtreen Bachat Account, and Mehfooz Account, offering profit rates on deposits.
• Current Accounts (Sahulat, Aasaan Digital, Aasaan, Current Deposit) Current account offerings including Sahulat Current Account, Aasaan Digital Account, Aasaan Account, and Current Deposit Account for transactional banking needs.
• Term Deposits (Izafa Certificate, Aamdani Certificate) Fixed-term deposit products including Khushhali Izafa Certificate and Khushhali Aamdani Certificate offering competitive returns for savers.
• Health Insurance (Sehat Zamanat, Tahafuz) Health insurance products including Khushhali Sehat Zamanat and Khushhali Tahafuz offering medical coverage for customers and their families, provided in partnership with Jubilee Life Insurance.
• Life Insurance (Takaful, Mustaqbil) Life insurance offerings including Khushhali Takaful and Khushhali Mustaqbil for policyholders' long-term protection needs.
• Western Union Remittance International money transfer service enabling customers to receive remittances from abroad through Khushhali Bank branches in partnership with Western Union.
• Khushhali Niswan Women-centered banking sub-brand offering financial and non-financial services including 1% rebate on selected loan products, priority banking services at branches, and dedicated women champions to serve female customers.
• Digital Account Opening (DAO) Self-service digital account opening service via dao.kb.com.pk allowing customers to open KMBL accounts independently without visiting a branch.

Named customers7 records

Segments4 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration4 records

Feature4 records

Partnerships

Four partnerships are on record, tiered minor.

• Pakistan Red Crescent SocietyminorStrategic or Co-development PartnerCollaborated for blood donation campaign held at Khushhali Bank's new corporate office in Gulberg Greens, Islamabad, demonstrating commitment to social responsibility and community building
• Society for Human Development (SHD)minorStrategic or Co-development PartnerPartnered with SHD for skill development program in Hazarupa, Sahiwal, providing tailoring training courses to women to enable them to earn sustainable livelihood
• WWF PakistanminorStrategic or Co-development PartnerCollaborated for Green Office Certification and environmental sustainability initiatives including tree plantation drives
• Alfredus Community Model School and College, Barah Koh, IslamabadminorStrategic or Co-development PartnerCollaborated to promote financial literacy and creative skills among students, with Khushhali Bank's team conducting financial literacy and women empowerment sessions

Scale indicators11 records

Recent moves8 records

Expansion highlights5 records

Direct peers

• Akhuwat Foundation: Pakistan's largest interest-free microfinance NGO offering Qarz-e-Hasana (benevolent loan) products to low-income borrowers. Competes directly for the same financially excluded segments KMBL serves, differentiated only by interest-free structure.
• Kashf Foundation: One of Pakistan's largest microfinance NGOs providing microenterprise loans, insurance, and women's financial services. Overlaps significantly with KMBL's Niswan women's segment and low-income micro-entrepreneur base.
• ASA Pakistan: Affiliate of ASA International, providing group-based microfinance loans to women micro-entrepreneurs across Pakistan. Targets the same rural, financially-excluded segment as KMBL with a group-lending methodology.
• NRSP Microfinance Bank: Microfinance bank focused on rural Punjab and Sindh, offering microloans, SME loans, savings, and insurance products. Comparable in charter, target market, and product breadth, particularly in agricultural lending.
• Mobilink Microfinance Bank (formerly Telenor Microfinance Bank): Pakistan's largest branchless banking platform operating Easypaisa. Directly competes with KMBL on microfinance lending, deposits, and digital account acquisition across the same low-income and unbanked segments, leveraging telco distribution instead of physical branches.
• U Microfinance Bank: Pakistan-licensed microfinance bank offering microenterprise loans, SME financing, and deposit products with a national branch network. Closely comparable to KMBL on product mix, regulatory standing, and target customer segments.
• FINCA Microfinance Bank Pakistan: Part of the FINCA Impact Finance network, providing microenterprise and SME loans to low-income clients in Pakistan. Directly competes on group-lending and small-business credit with overlapping rural and urban footprints.

Broad incumbents

• Meezan Bank: Leading Pakistani Islamic commercial bank with growing consumer, SME, and digital offerings. Competes indirectly with KMBL on Shariah-compliant deposit and financing products targeting similar mass-market segments.
• Bank Alfalah: One of Pakistan's largest private commercial banks offering SME, consumer, and digital banking products. Broader incumbent that competes with KMBL on SME lending and deposits, though its portfolio extends well beyond microfinance.
• Habib Bank Limited (HBL): Pakistan's largest commercial bank with nationwide branch and digital reach. Provides broader SME, consumer, and agricultural credit products that overlap with KMBL's SME and agri loan portfolio at larger ticket sizes.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks2 records

Key highlights7 records

Customer concentration

• Xtwitter.com/KblLtd
• YouTubeyoutube.com/channel/UCJLDlpB6y5CRnhyM5_reyBg?view_as=subscriber
• Facebookweb.facebook.com/Khushhali-Microfinance-Bank-149403195094486/?_rdr
• LinkedInlinkedin.com/company/khushhali-microfinance-bank

Compliance3 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles15 records

Funding overview

Funding rounds1 record

Investors1 record

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Khushhali Microfinance Bank