Karachi: The State Bank of Pakistan (SBP) has extended its facility allowing for the deferred payments of principal amounts on financing for certain sectors till September 30 — a news source reported earlier today (July 8).
The facility will now only be available on financing for the following sectors:
Small and medium enterprise (SME)
Consumer
Housing
Agriculture-related finance
Micro-financing only
The central bank has not extended the facility for corporate and commercial borrowers. This is because the loans for such borrowers have already been deferred, while the extension is actually for the benefit of smaller businesses and households.
The State Bank had announced the facility back on March 26, in collaboration with the Pakistan Banks Association (PBA). These and other facilities announced were meant to assist businesses and families in getting through the tough financial period preceding and during the coronavirus pandemic and the lockdown announced to fight its spread.
The facility allowed businesses and families to have their loans and advances deferred for a period of one year, as they continued to pay the same mark up during this difficult times.
