Ashar Husain


Master of Business Administration Executive

Faculty / School

Faculty of Business Administration (FBA)

Year of Award


Project Type

MBA Executive Research Project

Access Type

Restricted Access

Executive Summary

The growing use of branchless banking over the coming yeai's is inevitable but the question still arises whether poor will use these alternative channels for financial services beyond payment, such as credit and savings. Ten years back many thought that 'bricks’ were more reliable and necessary and the only medium for financial transactions. But as the world gets more and more educated, and the use of technology increases, soon the bricks would be replaced by clicks.

Branchless banking has emerged as a promising new approach to accelerate financial inclusion. Around the world many large commercial banks have ventured with mobile operators to reach large number of unserved people in rural areas who either did not have access to such services or who were reluctant to visit banks.

The essential proposition of branchless banking to financial institutions is that it can reduce its fixed costs, by devices and facilities, owned by customers or by using agents to cater customers. Cost reduction is not just the only commercial aspect to this but it would also increase the number of customers.

From the perspective of people it will act as a mode of convenience, such as saving of time, efficient transfer of funds, etc.

The growing awareness of sustainability would also be tackled by going branchless. A reduction in carbon emission/footprints will lead to a sustainable environment.

The State Bank of Pakistan (SBP) has issued four branchless banking licenses and it plans to several others. Today, branchless banking is the fastest growing segment in Pakistan. Branchless banking regulations were first introduced in the country in 2008.

The pioneers in branchless banking were Telenor which came up with Easypaisa followed by UBL Omni. Recently Mobilink launched its brand with the name of Mobicash in collaboration with Waseela Bank and Zong introduced Timepiece in collaboration with Askari Bank Limited.



Available for download on Tuesday, December 31, 2030

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