Bank Alfalah, PMRC sign deal

KARACHI: Pakistan Mortgage Refinance Company (PMRC) and its partner financial institutions (PFIs), including Bank Alfalah joined hands to provide and promote affordable housing finance in the country by signing agreements with the Credit Guarantee

Trust for low-cost housing, set up by the government with PMRC as a Trustee, a statement said on Tuesday.

In the ceremony held at PMRC’s office in Karachi, the credit guarantee agreements were signed with the National Bank of Pakistan (NBP), United Bank Limited (UBL), Bank Alfalah Limited (BAFL), and Dubai Islamic Bank Pakistan Limited (DIBPL), which will allow them to avail risk cover for low-income housing finance, it added.

Soneri Bank Limited (SBL) also participated in the event to partner with PMRC to obtain a refinancing facility to help them grow their housing portfolio.

These initiatives will allow the banks to partially alleviate the credit risk entailed and provide affordable mortgage facilities to the low-income, particularly those in the informal sector.

Presiding over the ceremony, Sima Kamil, deputy governor of the State Bank of Pakistan, praised the efforts of PMRC and partner financial institutions for this groundbreaking event, and said that this endeavour is not only a step forward in making the dreams of many low-income earners of owning a house come true, but also an example of turning visions into reality.

Mudassir H Khan, managing director, and chief executive officer of PMRC, said, “It is indeed a proud moment for PMRC and all PFIs, as we recognise the importance of mutual coordination between the financial institutions for the growth of affordable housing in the country.”

“The credit guarantee will play a key role in the promotion of low-income housing and realising the government of Pakistan’s vision of making affordable housing a reality,” he added.