Organized by the World Economic Forum’s EDISON Alliance, in partnership with the Virtual Remittance Gateway
(VRG), a SPOTLIGHT DAY on Pakistan’s AMA Scheme took place on November 7, 2023. The event, “Bridging the
Financial Inclusion Gap in Pakistan,” brought together key figures from prominent government offices and private sector entities, including Fortune 500 companies, to commemorate the triumph of “Financial Inclusion and Women Empowerment” in Pakistan.
Regulated by SBP and PTA, the AMA initiative has been developed to provide essential financial services to underserved and unbanked populations. Powered by VRG, this “Banking the Unbanked.” Scheme. In collaboration with the WEF’s EDISON Alliance is in alignment with Pakistan’s ‘National Financial Inclusion Strategy’ (NFIS) which champions financial inclusion, women’s empowerment, and community upliftment, drive both economic and social progress within Pakistan.
Lauding the dedication of the AMA Scheme initiative to promote Digital Financial inclusion in Pakistan. Claude Dyer, Head of WEF’s EDISON Alliance thanked Zarrar Sehgal, Chairman Pathfinder Group and VRG, for their successful collaboration and expressed wholehearted support for future initiatives from Pakistan. In order to achieve 1 BILLION LIVES challenge & VRG’s commitment towards 35 Million new digital banking accounts in Pakistan by 2025.
Zarrar Sehgal highlighted the importance of digital financial inclusion, emphasizing AMA’s success as a testament to the technological expertise present in Pakistan. He stressed that this homegrown product could serve as a low-cost model not only for domestic use but also for export to aid developing countries in integrating their underprivileged and unbanked populations into the financial network.
PM Anwaar-ul-Haq Kakar of Pakistan recognized the AMA Scheme as a key component of the NFIS and
acknowledged the substantial success of the “Banking the Unbanked” initiative, which has increased women’s participation to 38%. He highlighted the remarkable ease with which any Pakistani with a valid National ID card can now digitally open a bank account in under two minutes, even without internet access. The PM underscored the dual purpose of the AMA, simplifying bank account operations and promoting many-to-many models for social welfare, lending, insurance, and more. He expressed the intent to transparently process home remittances and emphasized the potential for global replication of this success with support from international organizations, all in a bid to provide hope and financial access to the underprivileged.
Finance Minister of Pakistan, Dr Shamshad Akhtar commended the EDISON Alliance for its commitment to inclusive digital inclusion for the unbanked in developing countries. Highlighting making bank accounts accessible to all Pakistanis on the AMA Scheme, particularly women. Dr. Akhtar also acknowledged the transformative role of Benazir Income Support Programme (BISP) in improving the lives of Pakistan’s poorest through access to education, healthcare, and poverty alleviation.
In his keynote presentation, CEO VRG Muhammad Salman Ali highlighted VRG’s achievement as the first Payment System Operator (PSO)/Payment Service Provider (PSP) and Third-Party Service Provider (TPSP) to migrate to the cloud with SBP approval. The AMA Scheme has significantly contributed to the many-to-many model, acting as a catalyst for financial inclusion and digital transformation in support of Pakistan’s ‘Financial Inclusion Strategy.’ VRG’s accomplishments has opened new avenues for the underprivileged and is serving as a milestone for empowering both men and women.
Deputy Governor SBP Saleem Ullah Khan, emphasized the importance of VRG’s interoperability platform in simplifying financial transactions by the flexibility of the interoperability platform, which allows individuals to link their accounts across different banks, making agent-to-agent transactions both hassle-free and cost-effective. He commended RAAST and AMA Scheme as pivotal elements in digital financial services that have significantly contributed to financial inclusion. He anticipated a twenty percent increase in the bankable population within five years and underlines the transformative potential of digital wallets.
DG Commercial PTA Arif Sargana discussed the technical and financial regulatory aspects of the project and highlighted collaboration with BISP and its positive impact on beneficiaries. Arif Sargana expressed support for initiatives that promote digitalization and provide solutions to address the unbanked population of Pakistan. He congratulated the Sehgal family and extended best wishes for the continued success and growth of AMA Scheme.
Dr. Amjad Saqib, Chairman BISP, underscored the significant success of AMA Scheme in providing hope and assistance to millions of beneficiaries and its impact on education, healthcare, and poverty improvement, positioning BISP as a beacon of hope for Pakistan’s marginalized communities. Dr. Saqib noted the creation of 20 million digital accounts to benefit 9.3 million beneficiaries and its pivotal role in combating poverty and improving lives. He expressed his desire to continue collaboration with VRG and AMA Scheme.
Mr. Shakeel Ahmed, General Manager of IT at Utility Stores Corporation (USC), discussed the digitization efforts to provide essential customer items at subsidized prices. He also outlined plans for enabling digital payments through AMA Scheme, enhancing targeted subsidies for eligible individuals and enabling effective cashless payments across the country.
Acknowledging the support of regulatory bodies, governmental facilitators, and the private sector in advancing financial inclusion in Pakistan. Aamir Ibrahim, CEO of Jazz emphasized the role of technology, including smartphones and fintech solutions, in expanding financial services. Aamir Ibrahim highlighted Jazz’s success in reducing cash reliance, alleviating poverty, and promoting literacy, with 43 million JAZZ bank account holders benefiting from telecom services via AMA Scheme, an impactful public-private collaboration which reaffirmed his commitment to ongoing support and collaboration to empower Pakistan.
Spotlight Day on Pakistan and the AMA Scheme underscored the need for continued collaboration and digital transformation to extend financial services to millions of people across Pakistan.
