Asasah was formed in 2003 as a Non Profit Organization (NGO) with the objective of being a Microfinance Institution (MFI), by a group of individuals with the vision of replicating the Grameen Bank approach as its operating model. It started distributing credit in January 2003, with the objective of improving the quality of life of financially poor and socially deprived people inter-alia providing technical assistance, training and learning opportunities to women and children, shortly after registering itself as a company limited by Guarantee under section 42 of the Companies Ordinance, 1984. Asasah is the only one microfinance institution who started operations with hundred percent commercial funding.