BISP Transition to Banking Model: A Step Towards Greater Efficiency and Accessibility

The Benazir Income Support Program (BISP), a vital initiative supporting Pakistan’s most vulnerable citizens, is undergoing a significant transformation. The program will soon transition to a branch banking model, as revealed during a meeting of the National Assembly Poverty Reduction Committee. This initiative aims to modernize the disbursement of funds, ensuring greater transparency, efficiency, and accessibility for beneficiaries.

---

Transition to the Banking Model

The new banking model will streamline BISP operations by:

• Opening Bank Accounts for Beneficiaries: Each beneficiary will have a dedicated bank account, enabling them to access funds directly from bank branches across the country.
• Expanding Accessibility: Beneficiaries can withdraw funds from any bank branch nationwide, eliminating reliance on specific disbursement points.
• Pilot Project Rollout: The pilot project will launch in January 2025, starting in urban areas and later expanding to rural regions by March 2025.

---

Addressing Rural Challenges

One of the key challenges is ensuring rural beneficiaries have equal access to banking services. While there are 17,000 bank branches in Pakistan, most are concentrated in urban areas. To address this:

• Point-of-Sale Agents will continue to operate in remote areas, ensuring beneficiaries without nearby banks can access funds.
• Additional strategies are being developed to ensure rural communities are not left behind in this transition.

---

Automation to Minimize Errors

The committee emphasized the importance of automating BISP processes to:

• Reduce Human Error: Automation minimizes manual interventions, lowering the risk of mistakes and fraud.
• Accelerate Fund Disbursement: Faster processing ensures timely delivery of payments to beneficiaries.

---

Special Measures for Biometric Issues

A significant development includes plans to assist 130,000 women whose biometric data has not been recognized. These beneficiaries will receive special cards starting in January 2025, enabling them to access their payments without complications.

---

Accountability and Transparency

The meeting also addressed accountability complaints against BISP officials, emphasizing the need for a robust system to ensure funds reach the intended recipients without misuse or corruption.

---

The Road Ahead

The shift to a bank-based disbursement model represents a monumental step for BISP. By modernizing its processes, the program aims to improve accessibility, efficiency, and transparency, benefiting millions of vulnerable citizens across Pakistan.