Pakistan's Central Bank Pledges Support for Women Entrepreneurs through Structural Reforms

Strategic Insights -

In a major step towards promoting women's economic empowerment, the State Bank of Pakistan (SBP) has launched the Women Entrepreneurs Finance Code in Karachi, co-hosted by the Asian Development Bank (ADB). The event, which drew national and international figures, highlighted the central bank's commitment to transitioning from economic stability to medium-term transformation. Governor Jameel Ahmad emphasized the importance of structural reforms, citing factors such as a low average inflation rate of 4.5% in FY25, stable foreign exchange markets, and positive current account balance. The focus is now shifting towards supporting women-owned micro, small, and medium enterprises (WMSMEs) as drivers of economic and social progress.

Key Takeaways:

  • The State Bank of Pakistan (SBP) has launched the Women Entrepreneurs Finance Code in Karachi, co-hosted by the Asian Development Bank (ADB), to promote women's economic empowerment in Pakistan.
  • Governor Jameel Ahmad emphasized the importance of structural reforms, including a nine-year low average inflation rate of 4.5% in FY25, stable foreign exchange markets, and positive current account balance.
  • The SBP has committed to supporting women-owned micro, small, and medium enterprises (WMSMEs) through initiatives such as the National Financial Inclusion Strategy (NFIS) and the Banking on Equality Policy (BOE).
  • The Asian Development Bank (ADB) has welcomed SBP as a global signatory to the Women Entrepreneurs Finance Code, with ADB Senior Director Christine Engstrom and World Bank's Wendy Teleki, Head of the Women Entrepreneurs Finance Initiative, attending the event.
  • Panel discussions explored collaborative approaches to advancing women's entrepreneurship in Pakistan, involving policymakers, financial leaders, entrepreneurs, and civil society representatives.
  • The event highlighted the importance of inclusive growth and sustainable economic policy, with the SBP and government committed to fundamental economic stability, higher financial reserves, and sustainable growth.

Statistics:

  • Average inflation rate in FY25: 4.5% (lowest in 9 years)
  • Projected inflation rate for FY25-27: 5-7%
  • Foreign exchange reserves: significantly increased
  • Current account balance: positive and sustained by strong remittances and exports
  • Primary surpluses: two consecutive, supported by growth in both tax and non-tax revenue

Sources:

  • Press statement by State Bank of Pakistan (SBP)
  • Asian Development Bank (ADB)
  • Women Entrepreneurs Finance Code Launch Event in Karachi
  • Governor Jameel Ahmad's speech at the Women Entrepreneurs Finance Code Launch Event