Pakistan signs $551m loan agreement with ITFC for Oil and LNG

Pakistan has signed a trade financing facility amounting to US$ 551 million with the International Islamic Trade Finance Corporation (ITFC), a subsidiary of Islamic Development Bank (IsDB) Group, for import of oil and LNG. This facility will be utilized by Pakistan State Oil Company Limited, Pak Arab Refinery Limited (PARCO) and Pakistan LNG Limited (PLL). Signing of this financing facility will be helpful in financing oil and gas import bill of the country and easing of pressure on foreign exchange reserves of the country
Dr Abdul Hafeez Sheikh, Adviser to the Prime Minister on Finance, Revenue and Economic Affairs was present on the signing ceremony. This facility is a part of Framework Agreement signed with ITFC in April 2018 for a total envelop of US$ 4.5 billion over for a period of three years (2018-2020). For the year 2019, The ITFC has agreed to provide trade financing of US$ 1.3 billion for the import of oil and LNG.