Singapore Based Consortium Plans To Open Digital Bank In Pakistan

With the new digital banking licence, the company announced plans to open a new digital bank—HugoBank—in Pakistan in the coming months.

Singapore Based Consortium Plans To Open Digital Bank In Pakistan

HugoBank has received a no-objection certificate (NOC) from the State Bank of Pakistan to conduct digital banking in Pakistan. The Digibank is a consortium led by Singapore-based Atlas Consolidated, the fintech firm behind the Hugosave savings app.

With the new digital banking licence, the company announced plans to open a new digital bank—HugoBank—in Pakistan in the coming months on Tuesday (Jan 17). The Getz Group, Atlas Consolidated, and Muller & Phipps are partners in this venture.

HugoBank must first register as a public limited company with the Securities and Exchange Commission of Pakistan (SECP) and obtain in-principle approval from the state bank before beginning commercial operations. Apart from HugoBank, the state bank of Pakistan also granted NOCs to Easypaisa DB, KT Bank, Mashreq Bank, and Raqami.

The new bank, which is targeted towards “financially underserved customers in Pakistan,”  will offer services such as online account opening, fund transfers, bill payments, customer credit products, peer-to-peer payments, and other financial transactions.

The bank also aims to drive financial education, offer products and services at “accessible” price points, and increase bank account penetration in Pakistan to 85 percent within five years, said Atlas Consortium.

According to State Bank of Pakistan data, more than half of Pakistan’s population is currently unbanked.

“We are extremely honoured that the State Bank of Pakistan has placed this trust in the consortium for the systemically important role of broadening financial inclusion throughout Pakistan,” said Ray Simkins, president of The Getz group.

Hugosave was launched in Singapore by Atlas Consolidated in 2019. In 2022, the startup received a pre-series A round of $4 million from 1982 Ventures and Woodside Holdings Investment Management. The transaction brought the company’s total funding to $10.5 million.

Hugosave, founded by David Fergusson, Ben Davies, Braham Djidjelli, and Surya Tamada, now has over 60,000 registered users in Singapore.