QistBazaar, a Pakistan-based Purchase Now Pay Later (BNPL) Fintech, has secured a big fairness and Shariah-Compliant embedded finance partnership with Financial institution Alfalah – one among Pakistan’s largest industrial banks.
The partnership is price PKR 500 million (US$1.7m) , and contains Financial institution Alfalah taking a 7.2% fairness stake
in QistBazaar, in addition to changing into the Firm’s embedded lending companion.
Atif Bajwa, President and CEO of Financial institution Alfalah, commented:“Financial institution Alfalah is dedicated to working with companions to deal with the wants of shoppers with restricted entry to credit score and decrease buying energy. Our collaboration with QistBazaar by way of an fairness funding and Islamic-embedded financing deal marks a big step ahead. This partnership goals
to offer creative monetary options, creating new alternatives for development and assist for these
The transaction is a milestone for Pakistan’s fintech panorama, as it’s the first time a industrial financial institution
has taken an fairness stake in a BNPL fintech.
QistBazaar is a fast-growing, Securities and Change Fee of Pakistan (SECP) licensed, BNPL, non-
financial institution monetary firm (NBFCs) platform. The Firm caters to all Pakistanis; from these unbanked
and with little to no monetary historical past, as much as these banking at established establishments. It’s distinctive in
numerous other ways together with that since day one among buying and selling, it has been EBITDA constructive.
Since inception in 2021, QistBazaar’s platform has delivered over 20,000 merchandise to the unbanked
shoppers: every little thing from cell phones to fridges – out there through reasonably priced month-to-month funds.
With over 30 years of historic information, spanning 250,000+ people, QistBazaar has revolutionized the
scoring course of for instalment based mostly purchases. The Firm’s eligibility standards is easy – “Each
Pakistani”. Not like different BNPLs, QistBazaar’s gross sales are on a 12 month plan, and embrace a component of
further revenue on each sale.
QistBazaar will profit from enhanced digital financing merchandise, through Financial institution Alfalah, inside its platform to
supply embedded shopper durables financing on BNPL – deepening its capacity to serve prospects with
restricted/no entry to formal credit score. The partnership may also improve the general buyer expertise,
bettering monetary inclusion, and offering revolutionary options.
Arif Lakhani, CEO of QistBazaar, mentioned:“QistBazaar has been on a mission to democratise buying energy. In our first 18 months of existence, we’ve got served over 17,000 Pakistanis – most of whom do not need financial institution accounts, and couldn’t have
accomplished their purchases with out going by way of us. Our milestone achievement with Financial institution Alfalah -coming in as our fairness and embedded financing companion – and with their steering and expertise, makes our work and mission a lot simpler to execute. We sit up for the longer term with nice confidence.”
The signing ceremony was attended by QistBazaar’s co-founders Arif Lakhani and Karim Gilani, plus different
executives. Financial institution Alfalah’s senior management additionally attended, together with Atif Bajwa, President and CEO; Aasim
Wajid Jawad, Group Head of Technique, Transformation, Buyer Expertise and Enterprise Capital
Investments and Yahya Khan, Group Head of Digital Banking.
The Purchase Now Pay Later (BNPL) facility is changing into more and more in style amongst shoppers because of its
affordability, comfort and monetary flexibility whereas providing a cheap answer to conventional
means of buying in occasions of high-interest charges.