In a landmark move for sustainable finance, InfraZamin Pakistan Limited, in partnership with Infralectric Private Limited and major banking institutions, has launched Pakistan’s first-ever PKR 3 billion, ‘AAA’-rated Green Sukuk for the telecom sector.
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The transaction, arranged by Dubai Islamic Bank Pakistan Limited, with Bank Alfalah Limited as Joint Lead Arranger and Meezan Bank Limited as the import bank, marks a significant milestone in climate-aligned capital markets and infrastructure financing. InfraZamin Pakistan is providing a 100% principal guarantee, enhancing investor confidence and enabling broad market participation. The Sukuk was oversubscribed, reflecting strong demand for green investment instruments.
Proceeds from the Sukuk will be used to finance one of the largest deployments of lithium-ion Battery Energy Storage Systems (BESS) and solarization solutions for telecom tower infrastructure across Pakistan. The project will cover approximately 1,955 telecom tower sites, introducing advanced battery storage, solar photovoltaic systems, artificial intelligence-based optimization, and remote monitoring technologies.
Pakistan’s telecom sector, serving nearly 190 million subscribers and operating over 50,000 towers, has historically relied on diesel generators, particularly in off-grid and weak-grid areas. This reliance has led to high operational costs and increased carbon emissions. The new initiative is expected to significantly reduce diesel consumption, lower fuel import costs, improve network reliability, and cut emissions.
Industry leaders described the development as a transformative step. Officials highlighted that the Sukuk structure demonstrates how Islamic finance can support sustainable infrastructure while mobilizing private capital. The initiative is also expected to generate employment opportunities across installation, maintenance, manufacturing, and technical services.
In addition to the core partners, the transaction includes support from multiple financial and advisory institutions, reinforcing its scale and credibility. It also aligns with Pakistan’s broader goals of promoting clean energy, strengthening infrastructure, and advancing climate action.
The launch of this Green Sukuk represents a major advancement in Pakistan’s financial ecosystem, showcasing the role of innovative financing solutions in driving sustainable economic growth and resilient infrastructure development.
