Micro-loan disbursements go up 14pc
The disbursement of microfinance loans increased 13.7 per cent in April-June on a quarterly basis after flat-lining in the preceding three-month period. Micro-loan disbursals in the second quarter of 2022 totalled Rs153.1 billion, up from Rs134.7bn in the first quarter of 2021, the latest data released by the Pakistan Microfinance Network (PMN) shows. However, the increase was 38.5pc on a year-on-year basis. According to the commentary by the PMN analysts, despite political and economic uncertainty, the microfinance sector posed resilience as a majority of indicators witnessed growth. The double-digit increase in disbursements came alongside a 7.5pc increase in the gross loan portfolio (GLP), which amounted to Rs448.6bn. Loan disbursements are fresh credit extended in the three-month period while GLP accounts for the entire outstanding principal owed by existing clients. GLP increased 26pc on a year-on-year basis.