The Government of Pakistan has signed a $1.1bn Annual Financing Plan 2021 with International Islamic Trade Finance Corporation, a subsidiary of Islamic Development Bank Group.
According to a statement by the Chief Executive Officer, ITFC, Hani Sonbol; and Secretary, Economic Affairs Division, Mr. Noor Ahmed; the financing available through the facility would be used for import of crude oil, refined petroleum products and Liquefied Natural Gas in 2021.
Financial Street gathered that the financing available through the facility would be utilised by Pakistan State Oil, Pak-Arab Refinery Limited and Pakistan LNG Limited.
“This will be helpful to augment foreign currency reserves of the country and provide resources to meet the oil import bill. Such financing commitments reflect confidence of international financial institutions in Pakistan’s economy,” the document stated.
Sonbol explained that Pakistan and ITFC had long-standing cooperation since the creation of ITFC in 2008, describing the country as the second largest beneficiary of ITFC financing.
He assured that ITFC would continue to support Pakistan meet its financial needs for import of crude oil, petroleum products and LNG.
Minister for Economic Affairs, Makhdum Bakhtyar, thanked ITFC for the support and its role in the development of trade and financing in the Organisation of Islamic Cooperation member countries.
He underscored the importance of partnership between ITFC and Pakistan.