In late 2017, Pakistan’s microfinance sector had more than 40 accredited institutions operating in 106 districts. While this is an improvement on previous years, according to the International Monetary Fund Pakistan lags well behind its peers – such as India, Bangladesh, Vietnam and Sri Lanka – for offering private-sector credit.
That said, Pakistan’s microfinance institutions – serving 5.2 million borrowers with a loan portfolio of PKR184bn (US$1.6bn) as at September 2017 – range widely in strategy, capacity and outreach. Just over half of loans are made to women borrowers and 55% focused on rural areas. In the past few years, loan sizes have also been increasing, with the current average size being PKR44,000 (US$397). At the same time, there is a growing reliance on smartphones as a mechanism for payments and to reach out to Pakistan’s 200 million population. According to GSMA intelligence, mobile phone subscriptions outnumber bank accounts by two to one. Financial innovations enabled by digital technology, or “fintech”, have started to play an important role in the provision of these microfinance institutions. Some of the top fintech softwares include:
- Loanbook
Loanbook is a simple lending application available for various platforms like web, Windows and Linux. The goal of the application is to simplify software acquisition implementation process for simple lenders like payday lenders from months to minutes. Loanbook is powered by Jisort platform which is a fully fledged banking system for SACCOs and MFIs. Loanbook setup is as simple as:
- Setting your default country,
- Setting your currency, and
- Setting your default bank.
The application is free to use for one user and only an additional user is billed.
2. Qist-Loan
Qist-Loan is a powerful Loan Servicing script. This script is the fully functional solution for mortgage companies, commercial lending, credit unions, municipalities, private and institutional lenders auto loan servicing, student loans, real estate loans, and much more. Their Online Loan Management System allows you for better evaluating borrowers, decision making support and online-lending process automation. It has been specially designed to simplify the task of entire lending life cycle including borrower management: from loan origination to debt collection. It also servicing mortgages, simple interest, revolving credit, bi-weekly, and other methods of interest calculation. Easy to use, affordable and professional loan servicing software.
3. FinnOne Neo
FinnOne Neo LMS is an advanced and comprehensive bank loan management system that aims to improve the quality, turnaround time and service for end-customers. It enables banks to improve the agility, transparency and efficiency of their lending solutions. As a loan management solution, it enables financial institutions to automate the processes for achieving cost savings and enhanced customer experience.
FinnOne Neo LMS supports both cloud and on-premise deployments. It can be deployed quickly in partnership with leading cloud providers without high upfront capital expenditure. Cloud deployment provides flexibility in scale while optimizing costs by supporting pay-per-use models.
4. Oracle Loans
Oracle Loans manages the complete lending cycle from loan origination, through final repayment. Oracle Loans gives you powerful tools to simplify the origination process so that borrowers get the right loan every time, streamlines loan servicing for improved customer service, and gives you a complete and accurate view of your portfolio so that you make well-informed lending decisions.
Oracle Loans is part of the Oracle E-Business Suite Financials family of products.
5. JMBLENDING
JMBLENDING is a web application that will help individual lenders or small lending companies to manage their business anytime, anywhere.
- It keeps track of daily collections, expenses, cash flows, access records in just few clicks.
- Very affordable with easy payment scheme
- Print & Download lending forms such as loan application form, loan contracts, promissory note, collection reports
- View customer records anytime, at any date, customize records you want to view
- Secure database
- Simple and user-friendly
- Assign roles of employees such as Branch Admins and Collectors
- Customer support
