ISLAMABAD – During a ceremony held in Islamabad, Pakistan Telecommunication Company Limited (PTCL), the country’s largest ICT services provider, and U Microfinance Bank Ltd. (U Bank), a wholly owned microfinance subsidiary of PTCL, announced the successful conversion of U Bank’s subordinated debt into equity for a total of PKR 1 billion.
Hatem Bamatraf, President and Group CEO of PTCL & Ufone, and Kabeer Naqvi, President & CEO of U Bank, signed the document in the presence of senior management from both businesses.
This conversion will allow the bank to further capitalise on the growth opportunities in Pakistan’s financial sector, which are dispersed across a diverse spectrum of rural, corporate finance & treasury, urban, corporate, sharia, and digital banking services, thereby accelerating the bank’s transformation into a challenger retail bank.
Speaking at the ceremony, Hatem Bamatraf, President and Group CEO of PTCL & Ufone, said, “Seeing the potential in U Bank’s ability to further expand and grow, PTCL endeavors to contribute and support the bank in capturing new segments and customer classes to bring more of Pakistan into the banking network and advance its goal of financial and social inclusion.
This is not only consistent with PTCL’s commitment to the nation and its economy, but also with its desire to strengthen ties between the banking and telecommunications sectors.”
Kabeer Naqvi, President & CEO of U Bank, stated at the event, “Up until now, U Bank has enabled underserved Pakistanis successfully and contributed positively to their economic empowerment. Through its six specialized business canvases, Bank has now embarked on the exciting journey of penetrating into newer market segments to expand its customer base and increase its impact.
This conversion demonstrates our sponsor’s faith in our ability to produce positive outcomes. It also reaffirms PTCL’s dedication to contributing to the socio-economic development and empowerment of Pakistan.
Together, PTCL and U Bank are at the forefront of providing superior connectivity and financial services to their customers throughout Pakistan, particularly the underserved community.