Rating Details	Rating Type	Social Impact and Performance Rating
	Dissemination Date	Current (17-Mar-25 )	Previous (17-Mar-24)
	Action	Maintain	Maintain
	Rating	SIP2	SIP2
	Outlook	Positive	Positive
	Rating Watch	-	-

Rating Rationale	Factor	Comment
	Ownership/Members	ASA MFB (Pakistan) Limited is a wholly owned subsidiary of ASA International (ASAI), incorporated under the Microfinance Institutions Ordinance, 2001. ASA International holds approximately 99.99% owne
	Governance	The Board of Directors consist of six members, including two independent and four non-executive directors and CEO, highlighting a robust governance framework.
	Management	ASA MFB operates with a well established organizational structure, led by a highly skilled senior management team focused on operational excellence. The stability of leadership, marked by minimal turn
	Social Impact	ASA MFB's mission statement clearly articulates its target market and strategic direction. To ensure alignment with its mission, the bank has established senior management level committees tasked with
	Business Sustainability	As of December 2024, ASA MFB's Outstanding Loan Portfolio (OLP) stood at approximately USD 90 million, reflecting market share of around 3.7% among microcredit institutions nationwide.
	Financial Sustainability	As of December 2024, ASA MFB's equity base stood at approximately PKR 10,240 million, compared to PKR 10,296 million at the end of December 2023. Despite the slight decrease, the equity base remains s

Key Rating Drivers

ASA MFB received an approval from State Bank of Pakistan to commence microfinance banking operations on November 13,2023. The bank has successfully implemented the Temenos T-24 Core Banking System, a globally recognized, industry leading technology and its fully prepared for the SBP inspection to begin deposit mobilization. ASA MFB remains committed to advancing financial inclusion and women's empowerment by providing microfinance services to underserved households across Pakistan. The bank also actively supports social initiatives focused on fostering sustainable community development. A strong social mission, along with continued operational excellence, will play a crucial role in strengthening the market position and credit profile.

About the Entity
	Legal Structure	Public Limited
	Year of Establishment	19-Mar-08
	Type of License	Non-banking Microfinance Company (NBMFC)
	Majority Ownership	ASA International Holding (99.99%)

Regulatory Disclosures	Analyst	Applicable Criteria	Related Research
	Usama Ali usama.ali@pacra.com +92-42-35869504 www.pacra.com	Assessment Framework | Social Impact and Performance Rating | Sep-24	Sector Study | Microfinance | Oct-24

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