The Securities and Exchange Commission of Pakistan (SECP) approved a Rs1.5 billion increase in the paid-up capital of HugoBank, it was reported on Wednesday.
The fresh capital injection paves the way for HugoBank’s commercial launch.
The bank has already secured in-principle approval from the State Bank of Pakistan (SBP) to establish a digital retail bank.
According to the SECP, HugoBank is being established by a consortium of Pakistani and Singaporean investors, with its sponsors set to invest $60 million.
The regulator said HugoBank’s entry is expected to enhance competition in Pakistan’s digital financial sector.
HugoBank will provide branchless banking services through mobile and online platforms, while the expansion of digital banking is expected to offer consumers faster and lower-cost financial services.
