Aurangzeb urges microfinance sector shift toward cashflow lending practices

Muhammad Aurangzeb urged the microfinance sector to shift towards cashflow-based lending practices, rather than relying solely on collateral, during the 10th Annual Microfinance Conference organized by the Pakistan Microfinance Network in Karachi. Furthermore, Aurangzeb advised microfinance institutions to concentrate efforts on integrating new borrowers into the broader financial system.
Separately, the government increased the export refinance limit to 1.5 trillion Rupees, up from 1 trillion Rupees. Of this enhanced export refinance facility, 20% is specifically allocated for small and medium-sized enterprises.
Pakistan's foreign exchange reserves currently stand at 21.4 billion dollars. Analysts anticipate Pakistan's economy will achieve growth exceeding 4% in the current fiscal year.
Since April 2025, Pakistan's sovereign credit rating has improved on three occasions.












































































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