KARANDAAZ PAKISTAN, a not-for-profit company established in 2014 and registered with the Securities and Exchange Commission of Pakistan under section 42, is promoting access to finance for small businesses through commercially directed investments and financial inclusion of individuals by leveraging technology-enabled solutions and platforms.
Karandaaz Pakistan operates through four program verticals:
Background
A regional financial entity that has an established history of greater than 50 years and working to support remote locations of the country, plans on becoming a scheduled bank i.e. a regulated entity by State Bank of Pakistan (SBP). This entity plans on working on extending banking products for development of the local economy, scaling the available banking services and facilitating the local population to have an entity that provides an interoperable banking system that is connected to Raast - National Payment Switch for all type of transfers, bulk payments and merchant payments. Given that the entity is not currently a SBP regulated entity therefore, cannot connect to the financial system through National Payment Switch. The particular entity has earlier applied for a banking license but there are challenges that need to be addressed to meet the regulatory requirements. Challenges include working on technical systems, equity structure, operational processes, implementation of control procedures and complying to rules/regulations given by SBP. Successfully obtaining the license would allow the entity to process payments through Raast and strengthen its operational capacity, diversify revenue streams, and play a more significant role in fostering financial inclusion and economic development across region.
For detailed TORs please download the attached file