Citibank N.A. Pakistan on Monday announced a Rs 1.74 billion seven-year term loan facility to Mobilink. This facility is structured under a risk-sharing agreement between Citigroup and the Overseas Private Investment Corporation (OPIC), a US government development agency.
Under the Citigroup-OPIC risk sharing agreement, up to $100 million shall be provided for private sector investment in Pakistan.
Keeping pace with the phenomenal growth in the cellular industry in recent years, Mobilink has also rapidly increased its capacity to cater this latest demand in the country.
The loan facility will be used to partially meet Mobilink's expansion plans, thereby allowing Mobilink to maintain its dominant position in the industry.
Speaking at the signing ceremony, president and CEO, Mobilink Zouhair A. Khaliq said that his company continues to maintain its market leadership position in the cellular industry in Pakistan.
He said the company has invested heavily in network infrastructure taking total coverage to more than 275 cities of Pakistan and total investment todate to $750 million.
Citigroup country officer Zubyr Soomro said that the bank was pleased to be a partner for Mobilink in this critical stage of its growth.
He noted that the bank has remained committed to providing structured financial solutions to encourage industrial growth in Pakistan and is at the forefront of bringing forth new products for both individual consumers and corporations.
The OPIC Risk Participation program is one such initiative taken by Citibank to support growth amongst corporations in Pakistan through access to funding for longer tenors.
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