SBP to Close Gender Gap in Banking

The State Bank of Pakistan (SBP) has introduced the second edition of its Banking on Equality Policy to address the gender gap in financial inclusion and enhance women's access to banking services. This updated policy, set for 2026, outlines new objectives for banks to boost women's presence in the workforce, bolster digital banking access, and extend financing options to women-led enterprises.

Among the measures, banks are urged to provide simplified digital accounts for women, promote digital payments for businesses led by women, and develop tailored financing products for female entrepreneurs. Additionally, the policy encourages alternative credit assessment methods to assist women who lack formal credit histories or traditional collateral.

SBP has also requested banks to establish targets for hiring women, engaging female customers, and boosting women's representation in branchless banking roles. Encouraged initiatives include providing daycare facilities for working mothers and implementing career development programs to elevate women into leadership roles. The policy builds on the initial version launched in 2021, which contributed to a narrowing of Pakistan's gender gap in financial inclusion from 39 percent in 2021 to 29 percent in 2025.

Over this period, banks hired more than 17,500 women, and women's share of the banking workforce increased from 13 percent to 17 percent.

Moreover, banks have set up specialized teams to create financial products and services catering to women. SBP will oversee the policy's implementation via quarterly data reporting, regular evaluations, and mystery shopping exercises. This initiative aligns with Pakistan's broader National Financial Inclusion Strategy goal to reduce the gender gap in financial inclusion to 25 percent by 2028.

The policy also aims to bolster women's financial literacy and foster their involvement in entrepreneurship. The finalization of the policy involved consultations with both local and international stakeholders.