The Bank of Punjab (BOP) has successfully arranged a long term
Foreign Currency (FCY) On-lending Facility of USD 54.2 Million
(Credit Facility) from Agence Française de Développement (AFD),
the French state development finance agency. This Credit Facility
is intended for onward lending to climate adaptation and
mitigation projects and activities in Pakistan. In addition to the
Credit Facility, AFD is also providing BOP a Grant Facility of EUR
675 thousand to support a technical assistance program.
This concessional Credit Facility marks the first-ever FCY facility
arranged by any commercial bank specifically tied to climate
financing in Pakistan. Additionally, this collaboration represents
the collaboration between AFD and BOP – the only Pakistani
commercial bank – making it a significant milestone for both the
institutions.
BOP was chosen as a partner bank by AFD following a rigorous
selection process spanning almost two years and the facility
represents the first step of a long term strategic partnership
between the two institutions.
The successful close of the facilities was commemorated at a
signing ceremony at AFD’s head office in Paris, where the formal
agreements were executed by Cyrille Bellier, AFD Director for
Europe, Middle East & Asia and Umer Khan, Head Investment
Banking, BOP. The ceremony was also attended by Naeem Javid,
Head Project Finance, BOP, along with senior representatives from
AFD.
