FAISALABAD. State Bank of Pakistan (SBP) is providing cheap financing facilities with minimum mark up rate to 5 important segments for the speedy, balanced and systematic industrial, economic and commercial growth in the country, said Waqas Kashif Bajwa Chief Manager SBP Faisalabad.
Addressing an awareness session on Export Refinance Scheme, he said that economic growth is tagged with multiple factors. However the provision of finance is the sole responsibilities of SBP.
Pointing out the 5 major sectors, he told that these include SME, women entrepreneurs, promotion of renewable energy resources, Islamic banking and up gradation of industrial units.
He briefed about the salient features of these schemes and told that among these include short and long term measures.
Regarding export refinancing scheme, he told that this is the oldest scheme introduced in 1973. Under this scheme working capital is provided for 180 days at a markup rate of only 3 percent.
Similarly, the foreign proceeds are to be repatriated within another 180 days. He told that 99 percent exporters are availing from this facility as its negative list is very negligible.
The ultimate objective of this negative list is to protect the domestic value-added sector. He also explained the part 1 and 2 of this scheme with other modalities and told that Faisalabad based exporters are fully utilizing this scheme.
Regarding loans for renewable energy, he told that under this scheme loans could be procured for a period of 10-12 years with a fixed markup rate of 6 percent.
He said that people should avail from this scheme by setting up their own units to meet their domestic, commercial or industrial needs.
Commenting on the problem confronted by the SME sector in getting fresh loans, Chief Manager told that SBP has declared it mandatory for all commercial banks to allocate at least 10 percent of their total loan portfolio for the SME sector.
