A Non-Banking Microfinance Company (NBMFC) is a company licensed by the Securities and Exchange Commission of Pakistan (SECP) under the Non-Banking Finance Companies (Establishment and Regulation) Rules, 2003 to provide small loans to people who are usually left out of formal banking.
GDO — Grassroots Development Organization — is a public company registered under Section 42 of the repealed Companies Ordinance 1984 (now the Companies Act 2017). It was incorporated on 12 April 2017 and received its SECP licence to carry out investment finance services as a non-banking finance company the same day. SECP has renewed the licence as No. NBMFC-1066, and it is restricted to micro-financing only.
Why does this matter to you? A licensed company must keep proper accounts, be audited and answer to a regulator. GDO keeps double-entry accounts, makes payments by cheque with two signatories, and is audited every year.
To protect yourself: deal only with GDO staff at our official offices or through our official channels (gdo.org.pk, info@gdo.org.pk, +92 606 811811), never pay anyone an advance fee to “guarantee” a loan, and ask for the full repayment amount in writing before you accept any loan.
Published by GDO Communications.