Expanding scope to financing for Balancing, Modernization and Replacement (BMR) and expansion of existing projects under its Temporary Economic Relief Facility (TERF), State Bank of Pakistan (SBP) has taken several measures to safeguard economic activity in the country, under COVID’19. With Shariah-compliant version to rouse new investment in manufacturing sector, TERF will be available for one year that requires a letter of credit (LC) to be launched by end-March 2021. To receive feedback from stakeholders, to know about new projects or existing projects, business community is subjected to avail the scope of TERF. While facilities regarding Balancing, Modernization, and Replacement can be availed under the supported domain of TERF. As COVID’19 has a very negative impact on economy, SBP has taken these precautionary measures to stimulate economy. SBP has also announced supplementary internal and external checks and controls to safeguard proper utilization of funds. With expanded services, SBP suppose that the present businesses will benefit this funded funding to improve efficiency of their business projects leading to higher economic activity and employment generation.
