Four commercial banks – two of them owned by the government of Pakistan – have submitted their bids to give a maximum of Rs30 billion in loans under the Kamyab Pakistan Programme over the next three months.
The bids will be opened on 28th October, 2021. The Ministry of Finance is looking for bids from commercial banks, Pakistan Mortgage Refinance Company (PMRC) and development finance institutions (DFIs) regulated by the State Bank of Pakistan (SBP) to perform as wholesale lenders.
However, no Islamic bank or DFI submitted bids for extending loans for a three month period. The banks offering the lowest interest rate above or below three-month Karachi Interbank Offered Rate (Kibor) will be declared as successful bidders. The government has also set the maximum cap on interest rate to be paid to these banks at three-month Kibor plus 9% per annum.
Under the Kamyab Pakistan Programme, the Ministry of Finance arranged the first bidding for only a three month period.