Financing allowed for spinning sector machinery import

The State Bank of Pakistan has allowed financing for plant, machinery & equipment under LTFF to be used by the export-oriented projects in sub-sectors/processes of spinning sector including doubling, twisting, combing, slubbing, lycra, and yarn dyeing.
According to a circular issued by SBP on Tuesday, SBP will refinance up to 50 percent of the financing facilities to be provided by the banks/DFIs to the eligible borrowers of above six sub-sectors / processes of spinning sector under LTFF scheme while the remaining 50 percent will be financed by the banks/DFIs from their own sources at lending rates of respective lending institutions as agreed with the borrowers. All other instructions issued on the subject shall remain unchanged, the SBP said.