Pakistan has made considerable developments in Microfinance though a late starter in this industry. The sector formally started to develop from 1999 although; semiformal sectors since the 1980s are providing micro-credit in Pakistan. Including Non-Government Organizations (NGOs) and Rural Support Programs (RSPs). Subsidies have played an important role in the growth and promotion of the microfinance sector’s growth phase. Now the sector is in its maturity phase. MFBs funding structure suggests lack of own-resource base through deposits mobilization. For long-term sustainability, Financial Self Sufficiency is vitally important for microfinance institutions