- Emerging technologies like blockchain, AI and big data will transform banking operations
Interview with Mr. Khalid Tawab, former Senior Vice President, FPCCI
PAGE: Tell me about yourself, please:
Khalid Tawab: I am Chairman of Tawab Group of Companies, a renowned name in the manufacturing of paper, board, and steel. I have served as the Senior Vice President and Vice President of FPCCI (Federation of Pakistan Chambers of Commerce and Industry) and the Karachi Chamber. I have been the honorary Consul General of Mozambique since 1989.
In recognition of my outstanding public services, I was awarded the Sitara-e-Imtiaz by the President of Pakistan in 2009. My company has received the FPCCI Exports Awards twice and the International Asia Award once for the highest exports. I am also a philanthropist and a trustee of the Aiwan-e-Tijarat-o-Sanat hospital. I have had the privilege of serving as a Minister in the caretaker government. Presently, I am chairman of Audit and Finance Committee of FPCCI – the most important committee of FPCCI.
PAGE: What is your perspective about the banking sector of Pakistan?
Khalid Tawab: The banking sector of Pakistan has remained resilient despite facing formidable macroeconomic challenges, including high interest rates, currency depreciation, and subdued private sector credit demand. While these factors have constrained growth, the sector has successfully maintained stability due to prudent regulatory oversight by the State Bank of Pakistan (SBP). Importantly, ongoing reforms and digital transformation initiatives are creating new avenues for growth. Increasing adoption of mobile banking, fintech solutions, and branchless banking is widening access to financial services, which will further strengthen financial inclusion and help the sector play a more proactive role in economic development.
PAGE: How would you comment on the microfinance industry and subsequent inclusive banking?
Khalid Tawab: The microfinance industry has become an essential pillar of Pakistan’s financial ecosystem. It has empowered underbanked communities, particularly women entrepreneurs and small farmers, by providing access to credit and financial literacy. This has directly contributed to poverty alleviation and grassroots-level entrepreneurship. However, sustainability remains a challenge due to high operational costs, limited risk-hedging mechanisms, and external shocks such as floods or inflation. To make microfinance more impactful, there is a need for innovative loan products, digital platforms to reduce costs, stronger partnerships with mainstream banks, and capacity-building programs to enhance borrowers’ financial skills. Integrating microfinance more closely with inclusive banking strategies can create a holistic ecosystem that uplifts marginalized communities while ensuring financial stability.
PAGE: What is your standpoint on cryptocurrency and investment opportunities?
Khalid Tawab: Cryptocurrency is an evolving phenomenon that offers both promise and peril. On one hand, it brings opportunities in terms of innovation, digital payments, asset diversification, and remittances; on the other hand, it raises critical concerns around volatility, consumer protection, regulatory uncertainty, and misuse for illicit transactions. In Pakistan’s context, cryptocurrencies cannot yet be considered a reliable mainstream investment avenue. The way forward lies in cautious exploration—developing a robust regulatory framework, educating investors, and piloting controlled use cases under the supervision of financial regulators. Only with these safeguards in place can Pakistan harness the benefits of digital assets while mitigating risks to financial stability.
PAGE: What is your standpoint on the use of technology in banking?
Khalid Tawab: Technology has revolutionized banking and will continue to do so. Digital payments, mobile wallets, internet banking, and fintech collaborations have transformed customer experience, improved transparency, and enhanced operational efficiency. The COVID-19 pandemic further accelerated digital adoption, pushing banks to innovate faster. Looking ahead, emerging technologies such as blockchain, artificial intelligence, cloud computing, and big data analytics will reshape the financial landscape. These tools can help banks detect fraud, assess creditworthiness more accurately, and offer personalized financial solutions. For Pakistan, technology-driven banking holds immense potential to increase financial inclusion, support SMEs, and foster sustainable economic growth—provided that issues of cybersecurity, digital literacy, and regulatory adaptation are addressed proactively.