Zong Kicks Off Salary Disbursement Via Branchless Banking

Zong in collaboration with Askari Bank has initiated its salary distribution project through branchless banking system “Timepey” to the employees of National Logistic Cell recently as part of its pilot project of G2P (Government –to-Person) system. The project has been successfully carried out and will be expanded to different organization associated with Fauji Foundation, Armed Forces and Army Welfare Trust at massive scale in order to facilitate the employees and serving staff of Pakistani military throughout the country, an official of the Zong who heads financial services said. Zong in collaboration with Askari Bank has launched its branchless banking “Timpey” last year and increased its services to 20,000 point-of-sales aimed at providing money transfer services to people of rural areas in particular on immediate basis. The salary distribution pilot project is a unique of its kind to facilitate employees of various public and semi-government organizations mainly for those employees working for different organization in the field and far-flung areas. Askari Bank has been strengthened its financial position after share purchase deal between Army Welfare Trust and Fauji Group. Timepey-logo Askari Bank’s Majority Stakes Acquired by Fauji Consortium In February 2013, a consortium of Fauji Foundation has sought permission of central bank to acquire majority of the state in Askari Bank from Army Welfare Trust aimed to control the management with its requirement of financial liquidity for the purpose of financing to companies working under the board of Fauji Foundation. According to analysts, the deal size could range between Rs12 to Rs16 billion. FFC with strong balance sheet would have no difficultly in raising that kind of money. Recently, the banking regulatory allowed consortium to acquire 79.1 percent share in Askari Bank. The consortium will hold the individual shares as per understanding comprising Fauji Foundation with 7.2 percent, Fauji Fertilizer Company Limited with 43.1 percent and Fauji Fertilizer Bin Qasim by 21.6 percent respectively . The Fauji Foundation (also known as Fauji Group) is amongst the largest business conglomerates in Pakistan which “Earns To Serve” the interests of ex-servicemen and their families. The total assets of Fauji Foundation at the end of 2011 stood at Rs191 billion. The branchless banking of Askari Bank will disburse pensions to ex-services man and their families in later stages as part of its futuristic strategy. Moreover, armed forces deputed in the far-flung areas, who maintain accounts in Askari Bank or draw their salaries from regional headquarters, could also send their salaries to their families through point-of-sales of Timepey likely in coming months.