ORIX Leasing Pakistan Limited (OLP)
ORIX Leasing Pakistan Limited (OLP) is a subsidiary of ORIX Corporation, Japan’s leading integrated financial services company with a presence in over 24 countries. It was incorporated in Pakistan as a private limited company on July 1, 1986 and converted into a public limited company on December 23, 1987.
Listed on the Karachi, Lahore, and Islamabad stock exchanges, OLP had assets of PKR 23.75 billion (USD 396 million) and a net worth of PKR 2.33 billion (USD 38.88 million) as of June 30, 2006. Based on these results, the Pakistan Credit Rating Agency (PACRA) maintained the Company’s entity rating at AA+ for being long-term senior unsecured creditors, and the highest rating of A1+ for being short-term senior unsecured creditors.
As one of Pakistan’s leading leasing companies, OLP has played a major role in the leasing industry where its main business activity is leasing moveable assets. Its strength lies in an extensive branch network, a diversified portfolio of clients, a wide range of financial products, personnel development, and business automation. Branch offices are strategically located throughout Pakistan to ease the process of providing quality services to a broad client base.
Microfinance
ORIX provides reliable short to medium-term financial products for the establishment and growth of micro-businesses and enterprises. The microfinance programme’s intent is to help strengthen the economic base of the urban and rural poor by increasing the income earnings of community members. It currently offers the following range of products under its microfinance programme:
Micro-leasing
Micro-entrepreneurs are provided financing on a profit-making basis all over the country. ORIX finances productive assets like generators, photocopiers, and lathes under a micro-leasing scheme for equipment and machinery.
Microcredit
ORIX microcredit loans are based on a group-lending methodology through which peer groups of five women are self selected and incorporated into a credit council of 20 borrowers. No physical collateral is required and access to products and services is quick and prompt.
Loan recovery is based on the premise that council members are all responsible for each other. The entire council assumes responsibility for timely repayment in case of an emergency or non-payment.
The 20 members comprising a council consist of married, divorced, or widowed female clients. Divorced and widowed clients are especially encouraged to take part in the group-lending approach so that they can earn independent livelihoods by starting businesses or by expanding existing businesses.
Poverty Alleviation Programme
The poverty alleviation programme has provided soft-term financing in association with the Pakistan Centre for the Rehabilitation of the Disabled (SDC) to fully recovered patients of the Marie Adelaide Leprosy Centre (MALC) and the Pakistan Centre for the Rehabilitation of the Disabled (PSRD).
Non-governmental Organization (NGO) Linkage
ORIX has started providing financing to women from poor households to expand its scope of financial intervention for microenterprises. ORIX is currently working closely with the following non-governmental organizations (NGOs):
- Asasah, Lahore (Punjab);
- The Centre for Women Cooperative Development (Punjab);
- Indus Resource Centre, Sehwan (Sindh);
- Marvi Samaji Tarakeyati Tanzeem, Hyderabad (Sindh);
- Young Samaji Tanzeem, Juhi (Sindh);
- Villagers Development Organization (Sindh).