ISLAMABAD: The International Finance Corporation (IFC) has announced an investment of up to US$20 million in Pakistan’s leading plastic packaging manufacturer, Novatex Limited, to support import of essential raw materials and equipment.
It is aimed at strengthening export competitiveness, sustaining jobs and promoting environmentally sustainable production, a World Bank news release said on Friday.
The IFC, a member of the World Bank Group, said the financing would help strengthen Pakistan’s packaging industry, which serves key export-oriented sectors including food processing, pharmaceuticals and consumer goods.
The investment would enable Novatex Limited to import critical raw materials and machinery, ensuring a stable domestic supply of plastic packaging materials, reducing reliance on imports and enhancing the resilience of local supply chains.
It said the financing was expected to help sustain employment, preserve export earnings and support the country’s manufacturing sector by protecting downstream industries from supply disruptions.
The investment also supports IFC’s sustainability agenda, as Novatex operates large-scale polyethylene terephthalate (PET) recycling plants and is expanding its recycled PET (rPET) production capacity, contributing to Pakistan’s transition towards a circular economy in the packaging sector.
In addition, IFC would assist the company in aligning its operations with the corporation’s environmental and social performance standards to further strengthen sustainable industry practices.
“Pakistan’s long-term economic growth depends on sustaining competitive, export-oriented industries that create jobs, generate foreign exchange, and invest for the future,” said Wagner Albuquerque de Almeida, IFC Director for Manufacturing, Agribusiness and Services for the Middle East and Central Asia.
He said IFC’s investment in Novatex would help sustain employment, support export competitiveness, strengthen the resilience of a key manufacturing sector and advance more sustainable production practices.
Novatex Chief Executive Officer Rizwan Diwan described IFC as an important financial partner for Pakistani corporates, saying the investment marked the beginning of a broader partnership between the two organisations.
