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Pakistan reserves 300 billion rupees in export finance for smaller firms

Pakistan reserved a 300 billion rupee export-finance allocation exclusively for eligible small and medium-sized exporters. The money had previously been shared with other borrowers. Adviser Khurram Schehzad said participating banks had been instructed to implement the change through Pak EXIM, with the government seeking to ease working-capital constraints alongside export-related tax relief.

Economics & Markets··Evening
Close-up of loan folders, face-down application papers and a pen on a bank desk, illustrating financing for smaller exporters in Pakistan.

The allocation is reserved for eligible exporters

Pakistan reserved 300 billion Pakistani rupees under its Export Finance Scheme exclusively for eligible small and medium-sized exporters. Finance Minister adviser Khurram Schehzad announced the change, which replaces an arrangement that shared the allocation with other borrower categories. The financing is administered through the Pakistan Export-Import Bank, known as Pak EXIM. Schehzad put the allocation’s value at approximately 1.1 billion dollars.[1], [2]

Participating banks receive implementation instructions

Schehzad said Pak EXIM had instructed participating banks to implement the dedicated allocation and ensure its effective use. Smaller companies face constraints in obtaining affordable credit, particularly for working capital and export expansion. Working capital finances everyday business activity. The government intends easier access to that funding to help exporters complete orders, increase production capacity and seek customers in new international markets.[1]

Tax relief accompanies the financing facility

The financing change accompanies export-related tax relief introduced in the federal budget for the 2026–27 financial year. Those measures include reductions in taxes associated with exports and in Super Tax. Schehzad presented the dedicated facility as part of a broader effort to widen smaller businesses’ access to finance and encourage export-led growth.[1]

References

  1. News sourceBusiness RecorderPakistan reserves 300 billion rupees of export finance for SMEs↩1↩2↩3
  2. News sourceIndependent PakistanPakistan reserves export credit for small and medium-sized firms↩