KARACHI: HBL Microfinance Bank has begun disbursing Pakistan’s first climate-smart agriculture loans using satellite data in partnership with SUPARCO, marking a significant shift toward technology-driven, climate-resilient farming, according to a statement released on Monday.
Agriculture employs nearly half of Pakistan’s workforce yet remains highly exposed to climate shocks, making access to reliable and timely credit increasingly critical. Traditional agri-financing relies on manual field verification, leaving lenders unable to accurately assess crop health, land use or climate-related risks. The pilot, developed jointly with SUPARCO, the national space agency, aims to change that by using satellite imagery, remote-sensing analytics and crop monitoring to guide lending decisions, reduce loan risks and support farmers facing rising weather volatility.
With agriculture forming a major share of employment and GDP, the shift toward climate-smart, data-driven financing is seen as essential for improving resilience, modernizing rural credit systems and expanding access to finance for smallholders. The HBL Microfinance Bank–SUPARCO collaboration is expected to serve as a template for scaling satellite-enabled agricultural lending nationwide.
“By integrating satellite intelligence into agri-financing, we are equipping farmers with the tools to withstand climate risks, improve productivity, and contribute to national food security,” said Amir Khan, President & CEO of HBL Microfinance Bank, according to a statement.
“Furthermore, it also strengthens risk management for the banking sector financing agriculture. This partnership reflects our commitment to delivering innovative, inclusive, and climate-resilient financial solutions, and we look forward to scaling it up very soon.”
The project uses SUPARCO’s remote-sensing capabilities to generate detailed assessments of land use, crop patterns and vegetation stress. Combined with HBL MfB’s on-ground presence in rural districts, the approach enables lenders to issue financing that is more aligned with real-time field conditions and farmers’ actual crop cycles.
“This collaboration showcases how Pakistan’s space technology can directly support economic development,” said Zafar Iqbal, Member (SAR), SUPARCO.
“By applying satellite analytics to agriculture, we are strengthening livelihoods and contributing to national climate resilience.”
