Launch of EXIM Bank Propels Pakistan's Export Industry: Shamshad Akhtar

In a significant move aimed at propelling Pakistan's export industry, Dr. Shamshad Akhtar announced the official launch of the Export-Import Bank of Pakistan (EXIM) during a ceremony on Thursday. The former governor of the State Bank highlighted the pivotal role the bank is set to play in boosting exports and investment in the country.

Dr. Shamshad Akhtar emphasized that EXIM Bank's imminent operational focus would revolve around providing essential Trade Credit Insurance products to exporters and commercial banks. This strategic initiative aligns with the government's vision to strengthen trade relationships and economic development.

"The government recognizes the immense potential of initiatives like EXIM Bank in advancing economic development and bolstering trade relationships for Pakistan," remarked Dr. Shamshad Akhtar.

EXIM Bank's model is designed to shape the nation's trade finance infrastructure, with a primary focus on safeguarding the financial stability of exporters. Competitive professionals will execute its functions, offering credit insurance and guarantee services to Pakistani exporters.

The prime objective of EXIM Bank is to protect exporters' balance sheets, ensuring a level playing field through national Export Credit Agencies (ECAs) or EXIM support. The bank's flagship offerings include tailored export credit insurance products, strategically designed to prevent defaults on foreign receivables, ensuring exporters' financial resilience and facilitating smoother trade operations.

The establishment of EXIM Bank is not only a boost to the export industry but also a catalyst for job creation. The availability of export credit and trade finance facilities is expected to ignite economic growth, create job opportunities, and strengthen the employment sector within Pakistan.

To further fortify the export sector, the Export Finance Scheme (EFS), administered by EXIM Bank and monitored by the State Bank, has been introduced. This initiative aims to provide financial support to Pakistani manufacturers, enabling them to build stronger global connections and enhance competitiveness in international markets.

Globally, EXIM institutions have played a crucial role in international trade and economic development, providing approximately $2.5 trillion in trade finance last year, significantly boosting exports to over sixty countries, Dr. Shamshad Akhtar informed.

Drawing inspiration from the success of Vietnam's Exim Bank, launched in 2012, Dr. Shamshad Akhtar sees EXIM Bank's establishment as a potentially transformative force on Pakistan's economic landscape, signaling positive outcomes for the country's export trajectory.