Kashf MFI

completed

_x000C_The project aims to help expand microfinance outreach in Pakistan through an investment and technical assistance package for Kashf Foundation (Kashf or the company), one of the largest and best performing microfinance institutions in Pakistan. IFC will provide Kashf with total investment of up to $22.5 million equivalent through two separate entities:- $15 million loan/guarantee to Kashf Foundation, to help scale up its group lending product to reach half a million women clients within five years, and - $2.5 million equity investment for a stake of up to 19%, and a standby loan of $5 million in the greenfield Kashf Microfinance Bank (KMB) that is being carved out of the Foundation by transforming its individual loan portfolio. Kashf Microfinance Bank (KMB) is a greenfield microfinance bank to be established and regulated by the State Bank of Pakistan. Together, the equity and loan will help finance the establishment and portfolio growth of KMB, which aims to reach significant scale quickly by offering savings and deposit products, individual loans and other value-added services primarily to micro and small business owners, especially women. Within 5 years, KMB expects a loan portfolio of above $270 million equivalent to approximately 375,000 borrowers and over 1 million savers.