Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb presided over the meeting of the Prime Minister’s Committee on Social Impact Financing, during which participants discussed creative financial solutions for social impact and financial inclusion in Pakistan. He was very keen on public sector involvement in creating a strong policy and regulatory framework in social impact financing which it means allowing the private sector to lead in implementation.
Also Read: Alkhidmat Foundation to Give Free Laptops to 10,000 Bano Qabil Students
Some Points Discussed Above are:
- Policy Framework: Develop a framework that connects philanthropic contributions (such as Sadaqaat and Zakat) to the unserved segments of society.
- Mobilization of Capital: Mobilisation of philanthropic capital to realize sustainable social outputs.
- Legal and Regulatory Hurdles: Work to simplify these hurdles to create an enabling environment for impact finance.
- Financial Inclusion: Making the system inclusive while complying with religious principles.
- Risk Mitigation: Identify and put in place strategies to prevent risks associated with social impact investment.
- Digitalization and Accountability: Facilitating the adoption of digital solutions and impact assessment for stakeholder verification.
Insights and Proposals:
Insights on blended financing, public-private partnerships, and microfinance initiatives were shared by participants while making proposals for a regulatory framework to encourage innovation from the private sector and safeguard investments.
Commitment towards Inclusive Growth:
The Finance Minister appreciated the stakeholders for their commitment to the goal and further directed that accelerated efforts will be made towards the finalization of the proposed policy framework while reaffirming the government’s resolve to support initiatives for inclusive growth and community welfare through private sector empowerment.