International Islamic Trade Finance Corporation approves $1.2 billion for Pakistan

ISLAMABAD: The International Islamic Trade Finance Corporation (ITFC), a member of the Islamic Development Bank, has approved $1.2 billion in financing as part of the annual plan to provide Pakistan with integrated trade solutions to support the energy and agriculture sectors.

The annual plan agreement for the 2022 calendar includes the financing of the import of essential products such as crude oil, refined petroleum products, LNG, food and agricultural products, in addition to the implementation of a trade-related technical assistance intervention to ensure trade development impact.

The annual plan was signed in a ceremony at ITFC headquarters in Jeddah between ITFC and a delegation from the Ministry of Economic Affairs on Monday.

According to ITFC’s Director of Operations, Nazeem Noordali, Chief Operating Officer, the annual plan reflects the importance of the longstanding cooperation between ITFC and Pakistan. ITFC works closely with its member countries to meet their needs by providing integrated solutions including financing and capacity building tools that maximize the development impact of ITFC’s interventions.

“We are delighted and will continue to mobilize financial resources to support Pakistan in its efforts to achieve its economic goals through our existing framework agreement,” he said.

The EAD Pakistan delegation expressed gratitude for the continued support and partnership with ITFC, and underscored the need for enhanced cooperation through more efficient processes to further promote Islamic trade finance and trade development interventions in Pakistan.

Despite a challenging year due to the COVID-19 pandemic, ITFC provided approximately $1.1 billion in trade finance in 2021. ITFC had signed the Fourth Framework Agreement with Pakistan in June 2021 for $4.5 billion. It is worth mentioning that since 2008, ITFC has provided $6.7 billion to Pakistan.

Posted in Dawn, February 23, 2022

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