National Rural Support Programme ("NRSP" or the "Company"), registered as a non-profit organization established on 02-Nov-1991, operates as a public company limited by guarantee, not having share capital, in Pakistan, under Section 42 of the Companies Act, 2017 (previously the Companies Ordinance, 1984).

NRSP is Pakistan's leading microfinance and development organization. Initially, the Govt. of Pakistan (GoP) provided the seed capital of PKR 500mln to empower rural communities to combat poverty through various initiatives and dedicated staff. The registered office of the Company is situated on the 7th Floor, UBL Building, Jinnah Avenue, Islamabad.

NRSP is licensed as an Investment Finance Service provider under the Non-Banking Microfinance Companies (NBMFC) framework to undertake development, training, micro-lending, and infrastructure development activities. Its mandate is to alleviate poverty by harnessing people's potential and implementing development initiatives across Pakistan. The Company has a presence in 88 districts across all four provinces, the Islamabad Capital Territory, and Azad Jammu and Kashmir through its regional and field offices. It currently serves more than 3.87 million low-income households organized into a network of 257,671 Community Organizations. Through sustained incremental growth, NRSP has emerged as one of Pakistan's leading institutions for poverty reduction and rural development. The Company's primary objectives are rural uplift, land resource development, and other welfare activities. In addition to its broader developmental initiatives, it focuses on providing micro-credit facilities across the country. Furthermore, the Company has initiated an urban micro-credit programme, operating under the Urban Poverty Alleviation Programme (UPAP). The objective of this programme is to improve the quality of life of disadvantaged and low-income communities by enhancing their access to credit services.

NRSP is limited by the guarantee of a 14-member body consisting of 10 Board members and 4 general body members. 

NRSP members' body is selected based on expertise. The Board of Directors (Board) serves for three years, while the members have no fixed tenure unless they voluntarily resign. However, stability remains evident.

The members, comprising retired civil service professionals, educationists, and development experts, possess extensive experience in the field of development and demonstrate a robust business acumen.

NRSP operates under a unique structure that differs from traditional companies, where the conventional concept of sponsors' willingness and ability to support the Company in times of need does not apply. Since the members of NRSP do not derive any financial benefits from the organization's surplus profitability, their willingness to provide financial support during challenging times is not relevant or may be limited.

NRSP's governing body comprises eleven Board members, including seven Non-Executive Directors, of whom three are Independent Directors, and four Ex-Officio Directors, including three Nominee (Ex-Officio) Directors and the Chief Executive Officer. The Board collectively brings a diverse range of expertise and experience.

Mr. Shoaib Sultan Khan – Chairperson of the Board and a pioneer of the Rural Support Programme (RSP) approach in Pakistan. He founded the Aga Khan Rural Support Programme (AKRSP) in 1982 and has led several rural development initiatives across Pakistan, India, and South Asia, with extensive experience in community-driven development and poverty alleviation. Ms. Kishwar Naheed is a renowned writer, columnist, and social activist with extensive experience in cultural and social development. She serves as the Coordinator of Hawwa Crafts Associates and was awarded the Sitara-e-Imtiaz in 2000. She was also nominated among 1,000 women for the Nobel Peace Prize in 2005. Dr. Shahida Jaffrey is an educationist and development professional with extensive experience in higher education and rural development. She served as the founding Vice Chancellor of Sardar Bahadur Khan Women's University and has also led the Balochistan Rural Support Programme. She currently chairs Behbud Balochistan, focusing on healthcare and social welfare initiatives. Mr. Muzaffar Mahmood Qurashi is a former senior civil servant with extensive experience in public administration, finance, planning, and rural development. During his career, he held key positions in the federal and provincial governments and served on the boards of several financial institutions, including National Bank of Pakistan and Habib Bank Limited. Mr. Muzaffar Uddin has over 27 years of experience in rural development, microfinance, governance, and poverty alleviation. He has led prominent development organizations, including Aga Khan Rural Support Programme (AKRSP) and BRAC, with expertise in institutional management, community development, and sustainable development initiatives. Mr. Arif Ahmed Khan is a former civil servant with over 36 years of experience in public administration and policy formulation. He has served as Secretary in several federal ministries, including Finance, Economic Affairs, Water Resources, Interior, and Climate Change, and possesses extensive expertise in governance, public finance, and institutional management. Mr. Hamed Yaqoob Sheikh is a senior civil servant with extensive experience in public administration, public finance, and policy formulation. He has held several key leadership positions in the Government of Pakistan, including Federal Secretary Finance, and possesses strong expertise in governance, financial management, and institutional reforms, strengthening NRSP's strategic oversight and governance framework.

NRSP has established the Audit Committee and the Risk Management & Finance Committee to strengthen governance and oversight. Effective oversight is ensured through Board meetings. 

Yousaf Adil, Chartered Accountants, classified in category 'A' by SBP and having a satisfactory QCR rating, are the external auditors for NRSP. They expressed an unqualified opinion on the FY25 financial statements. (FY24 opinion was issued by A.F. Ferguson & Co.).

NRSP has implemented a hierarchical organizational structure to manage operations and ensure proper segregation of responsibilities. All departmental Heads (Finance, Grant Management, Operations and Programme Development) reports to the CEO, who then reports to the Board.

Dr. Rashid Bajwa - Cheif Execuitve Officer has over three decades of experience in poverty alleviation, rural development, microfinance, and community development. He holds an MBBS degree from Pakistan and a Master of Public Health (MPH) from the UK. He leads one of Pakistan's largest development and microfinance programmes and has played a significant role in strengthening financial inclusion and social mobilization initiatives. Mr. Asad Mahmood - Cheif Financial Officer, holds an overall professional experience of more than two decades. They are supported by an experienced team .

To monitor management performance, NRSP has established six management committees. Regular management committee meetings are held to address challenges, mobilize resources, assess projects, plan for the future, manage reinsurance and claims, and discuss financial and non-financial matters.

NRSP uses Mango ERP, a specialized solution for microfinance institutions, to automate and streamline key processes like loan management and client servicing.

NRSP has a robust credit risk control framework in place to effectively manage and mitigate credit risks. It adopts a proactive approach through comprehensive policies and procedures.

NRSP prioritizes technological advancements to improve efficiency and automation, ensuring faster loan recovery, robust surveillance, and effective risk management in the microfinance industry.

Pakistan’s microfinance ecosystem comprises Microfinance Banks (MFBs), Microfinance Institutions (MFIs), Rural Support Programmes (RSPs), and FinTechs, with MFBs dominating (~77% of Gross Loan Portfolio (GLP)) and uniquely funded through customer deposits, highlighting their systemic importance. The sector entered FY25 in a phase of cautious recovery following recent macroeconomic shocks. In CY25, macro conditions improved modestly, with easing inflation (~5.6%), stable currency, lower interest rates, and positive Gross Domestic Product (GDP) growth, while GDP growth is projected at ~2.6%–3.6% for FY26. Despite this improvement, the sector continues to face elevated credit risk, weak capital buffers, and uneven performance across players, with loan exposure largely concentrated in livestock and agriculture (~53.8%), increasing vulnerability to external shocks. During CY25, the sector reported net advances of PKR 468.3bln (CY24: PKR 421.2bln) funded primarily through deposits and borrowings, resulting in an Net Advance-to-Deposit Ratio (ADR) of 56.4% (CY24: 57.5%). The sector remained loss-making for the sixth consecutive year, reporting a reduced loss after tax of PKR 2.0bln (CY24: PKR 16.2bln). The sector’s Capital Adequacy Ratio (CAR) remained weak at -1.2% (CY24: 2.6%), well below the regulatory requirement of 15%. (Source: PACRA Sector Study)

NRSP holds a market share of ~7% in terms of GLP of the whole microfinance industry. NRSP is the second largest service provider in terms of active borrowers.

During FY25, the Company's markup earned increased to PKR 13.3bln (FY24: PKR 9bln), primarily driven by higher income from advances and investments. However, markup expenses also rose to PKR 5.3bln (FY24: PKR 2.9bln), reflecting higher borrowing costs. Consequently, net markup income improved by ~33% to PKR 7.9bln (FY24: PKR 5.9bln). Non-markup income also increased by ~10% to PKR 9.0bln (FY24: PKR 8.2bln), mainly supported by higher grant income. As a result, total income grew by ~20% to PKR 16.9bln (FY24: PKR 14.1bln). On the expense side, non-markup expenses increased to PKR 13.9bln (FY24: PKR 11.8bln), primarily due to higher compensation costs. While the provisioning stood at PKR 191mln (FY24: PKR 215mln), profit before tax increased to PKR 2.9bln (FY24: PKR 2.2bln). With no tax charge, profit after tax was reported at PKR 2.9bln (FY24: PKR 2.2bln). During 9MFY26, markup earned stood at PKR 9.3bln, while markup expenses amounted to PKR 1.2bln, resulting in net markup income of PKR 8.1bln, supported by the continued expansion of the advances portfolio. Non-markup income was reported at PKR 3.9bln, reflecting lower grant income during the period, bringing total income to PKR 12bln. Non-markup expenses amounted to PKR 8.3bln, while provisioning increased to PKR 317mln. Consequently, profit before tax improved to PKR 3.5bln, and in the absence of any tax charge, profit after tax also stood at PKR 3.5bln. Going forward, the Company's earnings profile is expected to remain supported by the continued growth of its financing portfolio, although the level of grant income will continue to influence the overall revenue mix.

During FY25, NRSP's profitability strengthened, with profit after tax increasing by ~34% to PKR 2.9bln (FY24: PKR 2.2bln). The improvement was primarily driven by enhanced net markup margins and relatively lower provisioning requirements in relation to the expanding advances portfolio. Consequently, Operational Self-Sufficiency (OSS) improved to ~69.4% (FY24: ~60.6%), while provision charged for the year stood at PKR 106.3mln (FY24: PKR 69.7mln). During 9MFY26, profit after tax further increased to PKR 3.5bln, reflecting a growth of ~57% compared to PKR 2.2bln in 9MFY25. The Company's Operational Self-Sufficiency (OSS) improved significantly to ~97%, supported by operating leverage arising from the continued expansion of the financing portfolio. Going forward, the sustainability of profitability will remain contingent upon the credit performance and repayment behavior of the recently disbursed government-backed financing schemes.

NRSP remains committed to advancing financial inclusion, with a strategic focus on underserved rural communities. Concurrently, efforts are underway to diversify funding sources through the development of new partnerships and the exploration of alternative financial channels, aimed at strengthening long-term sustainability and operational resilience.

NRSP's credit risk profile strengthened during FY25, supported by sustained growth in the financing portfolio and improved asset quality indicators. Gross micro-credit advances increased by ~32.7% to PKR 31.7bln (FY24: PKR 23.9bln). Despite the expansion in the portfolio, Non-Performing Loans (NPLs) declined to PKR 521.3mln (FY24: PKR 569.8mln), reflecting an improved credit profile and favorable migration across impairment stages. Consequently, the infection ratio improved to ~1.7% (FY24: ~2.4%), while the net non-performing finances-to-equity ratio declined to ~2.8% (FY24: ~3.6%). NRSP's credit risk is further mitigated by government-backed on-lending schemes, notably (i) Apni Chath Apna Ghar (ACAG), a housing finance facility introduced by the Punjab Housing and Town Planning Agency (PHATA), under which NRSP's allocated interest-free funding limit was enhanced from PKR 1,500mln to PKR 30,000mln, supported by a 9% operating cost subsidy and a 10% first-loss guarantee; and (ii) the Prime Minister Youth Business and Agriculture Loan Scheme (PMYBAL), under which NRSP has been entrusted to disburse interest-free loans of PKR 10,000mln against an operating cost subsidy of 8% p.a. with a 10% first-loss guarantee. The significant expansion in NRSP's financing portfolio during 9MFY26 is largely attributable to disbursements under the ACAG scheme, which, together with the associated first-loss guarantee structure, provides a layer of credit risk mitigation despite the scale of portfolio growth. During 9MFY26, the gross advances portfolio expanded significantly to PKR 72.7bln, accompanied by an increase in NPLs to PKR 1.2bln, in line with the enlarged financing book. The infection ratio remained broadly stable at ~1.7%, reflecting the Company's ability to maintain asset quality despite rapid portfolio growth. However, the net non-performing finances-to-equity ratio increased to ~5.4%, primarily due to the higher absolute level of impaired exposures.

NRSP's exposure to market risk remains low, as its investment portfolio is primarily concentrated in term deposits, bank placements, investment properties, and strategic investments in subsidiaries, with no exposure to listed equity securities. During FY25, the Company maintained investments in subsidiaries amounting to PKR 4.4bln (FY24: PKR 3.7bln), comprising NRSP Microfinance Bank Limited (PKR 3.7bln), NRSP Agriculture Processing Company Limited (PKR 702.6mln), and NRSP Green Energy (Private) Limited (PKR 0.5mln). Investments in subsidiaries and associates represented ~24.6% of equity, while total investments accounted for ~9.6% of total assets during FY25. Accordingly, the Company's exposure to equity price risk remains limited, with market risk primarily arising from interest rate movements on investments and borrowings. During 9MFY26, investment book increased to PKR 5.5bln. Consequently, the investments-to-total assets ratio declined to ~6.2% following the substantial expansion in the advances portfolio. Overall, the Company's market risk profile remained contained, with no direct exposure to listed equity markets, while interest rate and foreign exchange risks continued to remain manageable.

NRSP continues to rely primarily on borrowings from financial institutions to fund its micro-credit operations. During FY25, total borrowings increased by ~18% to PKR 21.6bln (FY24: PKR 18.2bln), in line with the expansion of the financing portfolio. The Company's funding profile remained diversified across commercial banks, development finance institutions, and multilateral agencies. During 9MFY26, total borrowings increased significantly to PKR 62.1bln, primarily driven by a substantial increase in long-term borrowings to PKR 44.7bln (FY25: PKR 4.9bln). The increase largely reflects funding obtained under government-backed on-lending schemes, resulting in a higher concentration of the Company's funding base towards Government-supported financing facilities.

During FY25, NRSP's financing portfolio expanded significantly, resulting in an improvement in the Total Finances-to-Total Assets ratio to ~67.1% (FY24: ~61.8%), reflecting a higher proportion of earning assets on the balance sheet. The Total Finances-to-Borrowings ratio also strengthened to ~144.4% (FY24: ~127.7%), supported by the continued growth in the advances portfolio relative to borrowings. During 9MFY26, the Total Finances-to-Total Assets ratio further improved to ~81.2%, driven by the substantial expansion in the financing portfolio. However, the Total Finances-to-Borrowings ratio moderated to ~115.2% as borrowings increased at a faster pace than the advances portfolio. Nevertheless, the ratio remained above 100%, indicating adequate coverage of borrowings by the Company's financing portfolio and supporting its debt-servicing capacity.

NRSP's capitalization remained adequate during FY25, supported by internal profit generation. The equity base increased by ~18% to PKR 18.8bln (FY24: PKR 15.8bln). However, the equity-to-total assets ratio moderated to ~40.4% (FY24: ~42.1%) as asset growth outpaced equity accumulation. The Return on Equity (ROE) stood at ~16.8% (FY24: ~14.7%). During 9MFY26, the equity base further strengthened to PKR 22.2bln, primarily supported by profit retention. Nevertheless, the equity-to-total assets ratio declined to ~25.2% owing to the significant expansion in the balance sheet, reflecting increased leverage. Meanwhile, ROE improved to ~22.5%. Going forward, the Company's ability to sustain capitalization in line with the rapid growth in its financing portfolio, particularly under government-backed lending schemes, will remain a key rating consideration.