ISLAMABAD, Feb 12: Although Pakistan’s financial sector has grown at a rate of about 15 per cent over the past five years, only 11 per cent of the country’s people and only four per cent women have bank accounts.

The first-ever “Access to Finance Study” conducted by the Pakistan Microfinance Network (PMN) reveals that 71 per cent of adult population thinks one can live easily without having a bank account.

The study was launched at a ceremony held here on Thursday. State Bank Governor Saleem Raza was chief guest.

The survey spanning all sectors of consumers and conducted in urban and rural areas of Pakistan at the request of the ministry of finance was sponsored by the World Bank, Department for International Development of UK and Swiss Agency for Development and Corporation.

The study shows that 32 per cent of people use informal methods for obtaining financial assistance, including borrowing from money-lender, shopkeeper or participating in a saving committee.

The maximum number of bank users are in Azad Kashmir where 30 per cent of people have bank accounts, followed by 12 per cent in Punjab, 11 per cent in Sindh and the NWFP and four per cent in Balochistan.

Financial literacy (awareness and understanding about terms associated with formal banking services) among the adult population was very low. Thirteen per cent of post-graduate people do not understand what is a PLS/saving account. Seventy per cent of 10,000 people surveyed have no understanding about credit, debt and ATM cards. Only 20 per cent of post-graduates have heard about ‘shares’.

The most basic requirement for opening a bank account is the Computerised National Identity Card. Ninety per cent of men and 80 per cent of women population have CNIC. Thirty per cent of women have no documents in their names. Only 15 per cent of account-holders use ATM cards and only four per cent of bank clients have debit and credit cards.

Only two per cent of total population invest in prize bonds and one per cent in National Saving Schemes. Only two per cent of bank clients obtain borrowing facility from financial institutions and 1.9 per cent of the adult population avail insurance policies.

The study reveals that only nine per cent banks are situated in rural areas.

The SBP governor termed the survey results most significant and primary source of information for formulation of policies for the financial sector and said that banks should get benefit from it. The findings of the survey would be posted at the SBP website, he added.