ISLAMABAD: The government of Pakistan and the International Islamic Trade Finance Corporation (ITFC), a subsidiary organisation of Islamic Development Bank Group on Wednesday signed annual financing plan amounting to $1.1 billion.

According to an official statement, the financing available through this facility will be utilised by the Pakistan State Oil (PSO), the Pak-Arab Refinery Ltd (PARCO), and Pakistan LNG Ltd (PLL) for import of crude oil, refined petroleum products and LNG during the year 2021. This will be helpful to augment foreign currency reserves of the country, and provide resources to meet the oil import bill.

Makhdum Khusro Bakhtyar, Minister for Economic Affairs witnessed the signing ceremony.

The document was signed by Noor Ahmed, secretary, Economic Affairs Division and Engineer Hani Salem Sonbol, chief executive officer, ITFC.

According to annual financing plan, the ITFC will mobilise trade financing of $1.1 billion during the year 2021. The federal minister appreciated the ITFC support for Pakistan, and said that the financing commitments reflect confidence of international financial institutions in Pakistan’s economy.

The minister underscored the importance of partnership between the ITFC and Pakistan, and highlighted that the ITFC financing for import of oil and LNG which was instrumental in the revival of industrial sector of Pakistan’s economy.

The minister also appreciated the ITFC’s role in the development of trade and financing in the OIC member countries.

Salem Sonbol highlighted that Pakistan and the ITFC has long standing cooperation since creation of ITFC in 2008.

Copyright Business Recorder, 2021