Standard Chartered Bank Pakistan, in partnership with the International Finance Corporation (IFC), has advanced its commitment to Pakistan’s export sector through the expansion of a major Risk-Participation Facility now valued at $400 million. The agreement, finalized in September 2025, marks a significant amplification of the previous $200 million facility introduced in December 2022. This strategic collaboration is designed to enhance the availability of short-term trade and working capital financing for Pakistan’s leading exporters and corporate clients, providing them with improved access to liquidity in an increasingly competitive global marketplace.
The enhanced facility arrives at a crucial moment for Pakistan’s economy, as businesses continue to navigate challenges related to credit accessibility, foreign exchange pressure, and disruptions within global supply chains. By doubling the size of the earlier arrangement, Standard Chartered Pakistan and IFC aim to bridge financing gaps that have historically limited exporters’ capacity to scale production, meet international demand, and expand into new markets. This strengthened financial pipeline is expected to support key sectors including textiles, manufacturing, agriculture-based exports, and industrial production.
According to the official announcement, the expanded facility will be used to bolster trade finance instruments, supply chain financing structures, and sustainable finance solutions tailored for export-oriented enterprises. These offerings are intended to help businesses maintain operational continuity, especially in periods of fluctuating market conditions or tightening liquidity. Industry analysts note that the availability of reliable working capital is often central to maintaining competitiveness in export markets, where timely order fulfillment and inventory readiness are critical.
Standard Chartered Bank Pakistan will utilize its global network spanning 53 markets across Asia, Africa, and the Middle East to support clients seeking enhanced access to capital. The institution’s established presence in trade finance positions it to deliver comprehensive support to exporters who require large-scale transactional capability and efficient cross-border operations. The bank’s role in connecting Pakistan’s producers with international buyers underscores its contribution to the country’s economic resilience and global trade integration.
IFC, a member of the World Bank Group, emphasized that the arrangement aligns with its broader mission to strengthen Pakistan’s financial ecosystem. The organization continues to prioritize initiatives that empower export-led growth, reinforce financial institutions, and drive economic stability. By sharing risk through the participation facility, IFC enables banks like Standard Chartered to extend greater financing volumes than otherwise possible under conventional lending limits.
The $400 million facility underscores the rising demand for trade and working capital financing in Pakistan, where many businesses face constraints in accessing short-term credit from conventional channels. Strengthened financing frameworks such as this are expected to support the country’s ability to improve foreign exchange inflows by enabling exporters to meet international orders more efficiently. Enhanced productivity and increased export volumes could contribute to improved foreign exchange reserves, which remain a vital aspect of national economic health.
The expansion of the Risk-Participation Facility is widely regarded as a timely intervention that reinforces Pakistan’s export potential. By improving financial accessibility and supporting operational growth, the initiative is expected to deliver broader economic benefits, particularly in sectors positioned to contribute significantly to sustainable economic development.
Follow the PakBanker Whatsapp Channel for updated across Pakistan’s banking ecosystem.