Latest news with #HabibBank
Arab News
11 hours ago
- Business
- Arab News
Pakistan secures $1 billion in ADB-backed financing from Middle Eastern banks
KARACHI: Pakistan has signed a $1 billion syndicated term finance facility backed by Middle Eastern banks, marking its return to the region's financial markets after more than two years, the finance ministry said on Wednesday. The five-year facility is partially guaranteed by the Asian Development Bank (ADB) under its Policy-Based Guarantee program, which is linked to fiscal reforms undertaken by Pakistan to improve resource mobilization and economic stability. The financing by the Middle Eastern banks is structured across Islamic and conventional tranches, with 89 percent of the total amount raised through a Shariah-compliant facility. 'This is a landmark transaction for the Government of Pakistan that demonstrates strong support from leading financiers in the region,' the finance ministry said in a statement. It informed that Dubai Islamic Bank acted as the sole Islamic global coordinator, while Standard Chartered Bank served as mandated lead arranger and bookrunner. Other financiers include Abu Dhabi Islamic Bank as mandated lead arranger, and Sharjah Islamic Bank, Ajman Bank and Pakistan's Habib Bank Limited (HBL) as arrangers. The deal marks the first time a facility has been backed by an ADB Policy-Based Guarantee linked to specific reform measures undertaken by a member country. According to the ministry, the ADB's support helped Pakistan attract significant interest from regional lenders and re-enter global capital markets at a critical time for the economy. The government said the success of the transaction signals renewed trust in Pakistan's fiscal outlook and macroeconomic trajectory, marking the beginning of a new partnership with Middle Eastern banks. Pakistan, which has faced persistent external financing gaps in recent years, has relied on friendly nations and global lenders to stabilize its balance of payments and rebuild investor confidence. The ADB-backed facility is intended to help strengthen fiscal resilience while supporting economic reform momentum.
Nikkei Asia
22-04-2025
- Business
- Nikkei Asia
Pakistan looks to Malaysia's success in Islamic banking: Habib Bank CEO
ISLAMABAD -- Pakistan's transition to Islamic banking will head in a similar direction to that of Malaysia's, and the shift will be well supported by banks and customers, Muhammad Nassir Salim, president and CEO of Habib Bank (HBL), said in a recent interview with Nikkei Asia. Islamic banking is a financial system based on Islamic principles, where interest is prohibited and all transactions must be backed by real assets and follow ethical guidelines of fairness.
