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Allied Bank Issues 20K+ Loans Annually with AdalFi
About
Allied Bank (ABL) is one of Pakistan’s top five private commercial banks, known for scale and innovation. Honored with Euromoney’s 2025 award for Best Islamic Digital Bank, ABL takes pride in their robust risk management, enterprise-level credit systems, and commitment to serving the corporate, retail and SME segments.
Smarter Credit Decisions. Instant Loans.
Challenge
Manual, Branch-Based Lending Blocked Scalable Credit
ABL has long been an innovative, digital-first bank in Pakistan. And as digital banking and consumer lending gained traction nationwide, ABL’s customers increasingly expected instant, mobile-first lending experiences.
In response, ABL launched myABL — an omnichannel digital banking platform that provides a full range of digital services on mobile and desktop. myABL, initially focused on servicing customer’s bank accounts, quickly became the preferred platform for all customer journeys offered by ABL. Extending myABL to provide digital lending was aligned with ABL’s vision of servicing both liability and asset products via digital platforms for the retail and SME segments.
As ABL launched myABL, they already had a solid lending infrastructure, including internal processes for assessing and managing loan risk. But maintaining strict credit administration protocols required detailed, branch-based work — lengthy credit review processes and multiple approval phases. “Even with strong systems in place, it was hard to scale and serve clients efficiently,” says Moin Khalid, Chief Risk Officer at ABL.
SME lending also created unique challenges for ABL. “Many small businesses in Pakistan have incomplete documentation or limited formal credit histories,” explains Mohsin Mithani, Chief Digital Officer. “This makes it difficult to confirm their ability to repay loans.” Missing or limited information often forced ABL to lean on manual SME verification, including identifying income proxies and in-person business visits. These extra steps increased operational overhead and further delayed lending.
On the retail side, similar constraints slowed down the rollout of payday loans. Customers in this segment often needed funds for urgent household expenses — like school supplies or medical procedures — so rapid lending decisions were critical. Yet approvals still required multiple levels of review, limiting ABL’s ability to meet expectations for instant access.
To scale lending across segments, ABL knew they needed a way to identify good credit prospects, maintain comprehensive risk oversight, and make faster, data-driven decisions. The team’s search led them to AdalFi. After seeing the team’s deep expertise in credit assessment, and AdalFi’s scalable technology platform which was pre-integrated with Temenos Core Banking, ABL knew they’d found the exact solution they needed to unlock their lending potential.
“Our traditional workflows simply weren’t designed to handle large volumes of applications instantly.”
Solution
AI-Driven Credit Automation Unlocks Instant, Scalable Lending
After partnering with AdalFi, ABL replaced manual, branch-based workflows with an automated, end-to-end lending process — from origination to activation to disbursement and repayment.
ABL started by rolling AdalFi’s solution out across Salary Advance loans. Using AI and machine learning, AdalFi makes use of valuable transactional data that was previously difficult to process and analyze. With this visibility, ABL easily identifies good credit prospects across their large depositor base by analyzing financial trends — no detailed credit histories or formal documentation required.
Because AdalFi embeds directly into ABL’s internal servers, the lending infrastructure automatically aligns with the bank’s compliance and risk protocols, eliminating time-consuming internal approvals. At the same time, AdalFi’s real-time monitoring system flags early warning signs such as missing salaries, minimizing the risk of non-performing loans and ensuring scale never compromises portfolio quality.
Now, lending decisions that once required days happen automatically in minutes — giving retail payday clients seamless access to credit when they need it most. “Clients can now access myABL and apply for loans 24/7,” Moin explains. “Loans are instantly sanctioned based on our credit parameters, then credited to the client’s account.”
After seeing the speedy success of their retail lending program, ABL soon launched a pilot program for their SME segment. As the program expands, the platform is already accurately predicting repayment based on clients’ financial behavior — scaling underwriting without adding operational burden.
But the real breakthrough is how AdalFi’s technology accelerates ABL’s long-term vision. By embedding AI-driven credit into myABL, the bank isn’t just digitizing loans. Now, the team is laying the groundwork for a true end to end platform — one that combines speed, trust, and access to serve Pakistan’s mobile-first population.
“The ability to embed credit decisioning into myABL and make it seamless for customers was a game changer for us.”
Results
ABL Issues PKR 1.1B in Digital Lending — and Counting
The success of ABL’s partnership with AdalFi proves that mobile-first, data-driven lending is no longer experimental — it’s the new baseline in Pakistan.
Their results have been transformative:
Going forward, ABL plans to continue scaling its consumer and SME lending and expand the digital lending platform to additional customer segments.
By proving that AI-powered lending can be both instant and risk-aware, ABL and AdalFi are reshaping customer expectations and setting a new standard for digital lending.
“Partnering with AdalFi has helped us combine banking expertise with innovative technology, unlocking new opportunities and ways of thinking about credit.”