Karachi, Pakistan – Halan Microfinance Bank has secured a capital injection of Rs. 1.425 billion (approximately USD 5 million) following its acquisition by MNT Halan Pak B.V., a Netherlands-based company. The bank, formerly known as Advans Pakistan Microfinance Bank Limited, was officially rebranded to “Halan Microfinance Bank Limited” on September 16, 2024, after the acquisition was finalized on March 20, 2024.
According to the financial statement for the year ending December 31, 2024, the microfinance bank received an additional Rs. 600 million in 2025 from its parent company to support its ambitious expansion strategy. Under this plan, the bank aims to open 75 new business units across Pakistan in the coming months.
Previously operating with 19 branches, Halan Microfinance Bank has already launched five new branches in Sindh by the end of 2024. In line with a cost-effective approach, the bank also secured approval for 25 service centers in Sindh, which are expected to become operational during 2025.
To support its growing operational footprint and comply with regulatory requirements, the bank increased its authorized capital from Rs. 2 billion to Rs. 5 billion. This move is aimed at ensuring adherence to the Capital Adequacy Ratio (CAR) and Minimum Capital Requirement (MCR) set by the State Bank of Pakistan.
In 2024, a capital injection of Rs. 825 million was made by the shareholders to meet regulatory needs and offset anticipated losses. The parent company also announced plans to invest an additional USD 10 million over the next few years to upgrade the bank’s technological infrastructure and core banking system.
In total, shareholders have injected Rs. 5 billion into Halan Microfinance Bank, with further equity infusions in the pipeline — a strong signal of their long-term commitment to the bank’s financial resilience and aggressive growth plans.
Despite these developments, the bank reported a loss after tax of Rs. 727.3 million in 2024, a notable increase compared to a loss of Rs. 329.9 million in 2023. The rise in losses was attributed to the restructuring of operations post-acquisition, which led to a temporary contraction in the bank’s primary revenue streams, including loan bookings. This restructuring is part of a broader strategy to realign internal processes and address legacy challenges.
As of December 31, 2024, the bank’s paid-up capital rose to Rs. 2.870 billion through the issuance of right shares, while the CAR stood at a healthy 15.30%, allowing the bank to meet the regulatory capital requirements.
Halan Microfinance Bank is also rolling out a comprehensive digital transformation roadmap, drawing inspiration from the success of its parent company, MNT Halan, in Egypt. Currently serving 50,000 customers, the bank has set an ambitious goal of expanding its customer base to 200,000 by the end of 2025.
