SBP, IFC sign agreement to strengthen local currency lending in Pakistan

The State Bank of Pakistan (SBP) has partnered with the World Bank Group, through its private sector arm, the International Finance Corporation (IFC), to expand local currency financing and support private sector growth in Pakistan. Through an International Swaps and Derivatives Association (ISDA) agreement, the partnership will enable IFC to manage currency risks more effectively and increase its investments in Pakistani rupees, the central bank said in a statement. SBP considered the agreement an important step towards unlocking financing for critical sectors of the economy and creating jobs across the country.