From American Banker April 18, 2014 TBTF Feedback: "Too big to fail" is fading in...
SMED Circular No. 10 (guidelines for commercial banks to undertake microfinance business)
(enacted in 2006)
Guidelines for Commercial Banks to Undertake Microfinance Business, issued as Annex A under SMED Circular No. 10 by the State Bank of Pakistan, provides guidelines for commercial banks to provide microfinance services under four different modes:
- Mode 1 – Microfinance counters at existing branches;
- Mode 2 – Standalone microfinance branches;
- Mode 3 – Establishing independent microfinance banks as subsidiaries of banks; and
- Mode 4 – Developing linkages with microfinance banks and microfinance institutions.